Nifty Spot Weekly Profile (18th to 22nd Mar)
After the previous week’s trending profile, a balance could be expected this week which got more confirmation on Monday as in spite of Nifty opening with a gap up of almost 50 points at 11474 and probing above previous week highs to make new highs at 11530 in the opening period, it could not extend the range on the upside and in fact probed lower breaking below the IBL & tagged the previous week’s VAH of 11414 as it made a low of 11412. The auction taking support at VAH meant that the PLR is still to the upside and Nifty resumed the trend up while confirming a weekly FA at 11412 as it made new highs on Tuesday & continued to probe higher till Friday morning making higher highs on daily as it tagged 11572 in the first hour. A point to note here was the contracted weekly range of just 160 points which was way below the weekly ATR & this hinted that the trade facilitation at these new highs was getting poorer. The auction then changed nature post IB on Friday as it got back into the previous day’s range & went on to break the lows confirming an outside bar as early as in the ‘C’ period. Nifty closed the week at 11457 almost around the week’s open leaving a balanced weekly profile with the weekly POC at 11518. This week’s Value is 11454-11518-11534 and staying below 11518, the PLR would remain down with more weakness below 11454 for a visit to the week’s low of 11412 and if that is taken out, Nifty could go for the weekly vPOC of 11336 and lower and that would also mean negating the weekly FA of 11412 which would put the auction on course for 11141 which is the 1 ATR down from there. Resumption in uptrend will happen only above 11530-534.
NF (Weekly Profile)
NF also made a balanced weekly profile with the range contracting compared to the previous week though the Value formed was higher as it left a weekly vPOC at 11361. It started the week with a small gap up which got filled on the same day itself as NF made a low of 11436 on Monday and from there reversed the auction again to the upside making new highs for next 3 days to tag 11596 on Friday but Value on the daily was overlapping suggesting the trend could be tiring and the confirmation came post IB (Initial Balance) on Friday as NF broke lower to leave an outside day which was also a Triple Distribution Trend Day Down as it closed the week in negative & in the lowest quadrant at 11472 . The weekly Value is 11487-11532-11574 and the PLR is now to the downside with immediate reference for the coming week being at 11475 which is a HVN.
BankNifty Spot Weekly Profile (18th to 22nd Mar)
BankNifty opened the week with a gap up of 120 points just above previous week’s high of 29521 and probed higher rising by almost 300 points as it made highs of 29812 in the opening 30 minutes thus giving a big move away at open continuing the imbalance from the previous week. The auction then was not able to extend the IB (Initial Balance) to the upside which indicated that the imbalance could be turning into a balance. BankNifty then went on to give a range extension to the downside on Monday as it got back into the previous week’s range making a low of 29361 from where the auction reversed to get back above previous week’s high & give a positive close for the day. The next day saw a gap up of 100+ points but again the auction got stalled on the upside & probed lower to close the gap and in the process left an FA at lows of 29547 as BankNifty went on to close the day around the highs. The next 2 days saw BankNifty making higher highs as it tagged 30008 on Friday in the opening 30 minutes but could not extend higher which turned the auction to the downside as BankNifty went on to make multiple range extensions lower completing a 4 IB move down which left a balanced profile on the weekly with a wide POC at 29700 which will be the level to watch on any upmove. The weekly Value is 29530-29700-29755 and staying below 29547-530, the auction remains weak for a move to 29250 & 28895.
BNF (Weekly Profile)
Report to be updated….
The weekly Value is 29544-29800-29872
