30 minute Profile

The just concluded derivative series was a flat one month-on-month which was not at all surprising considering that we had vix readings of less than 20 for most of the month.

Those who followed the Vix tables would have noted that the expiry would be around 5252-5272 levels and we came to within 10 points of our high estimate with a high reading of 5262 today.

Coming to what is in store for us tomorrow here’s a look at a 30 minute profile chart of the Nifty spot :

Vp29Thapr 30 Minute Profile

It was clear with a positive gap and the lack of selling through the day that buyers were in control and remained so throughout the day.

I was tempted to short the market at the important 5255-5260 level, but refrained from doing so as the close was strong and near the highs of the day. The action suggested a continuation higher.

Ahead between 5272 and 5307 we have two important profile zones.

1) The High volume region of 5292, calls for a slowing down of trade and ample opportunity to scrutinize and take a new call on direction for the week ahead.

2) 5272-5307 is also a gap from a few days back and the upper level of 5307 if breached should be the stop loss for positional shorts.Below 5272 shorts will be safe.

All the above are spot prices.Please take the levels as approximations as the volumes may not be correct.I do not have a data feed of continuous futures hence posting the profile for the spot. Also because we are rolling over today, tomorrow may be the right time for a new chart of the futures.

I’ll catch up with you over the weekend with some more profile analysis.Till then happy trading.