Evening report trade dated 21st Jan

A gap up instead of getting new buyers saw eager sellers piling in to sell as well as long liquidating which was enough to drop the index 148 points before a recovery came from about the same place as yesterday. The close was again lower on day.

Nf_Compo1

 

 

Background / Previous Auctions :

Weekly levels: We have done a review on weekly charts at: http://vtrender.com/nifty-bn-weekly-view-spot-for-18-jan-22-jan16/

(based on Fut prices)

#) The NF was a Normal Variation day today with singles again at the top.

#) Vwap of the session was at 7311 again with volumes of 190.2L in a session which traded a 7401-7253 range of 148 points

#) Day POC was at 7284 levels

#) The Profile had another convincing close below the 2-way balance seen between 7430 and 7620.

#) In trades today we shorted NF at 7340 which we covered fully around 7295 for a net 45 points

#) We also shorted NF again at 7280 but covered a part of the position at 7255 for a net 25 points

#) We identify 7430 zone with the big 150 point rise made last week with aggressive buying but now the same seems missing

#) Weakness can continue below 7240 and the NF can target 7144 if we go down below.

#) Confirmation of strength returning  is only if we manage a close above 7380-7420  F again on the weekly

#) Value areas are at  7326-7284-7266– for the session tomorrow. For using value areas effectively visit:http://vtrender.com/popular-market-profile-trading-setups/

#) Discl – When we mention Buyers/ Sellers we point to and infer aggressive players.

 

 

K.R.A is 7382 F ( K.R.A= key reference area) 

and the trend is lower.

 

BankNifty Jan F:

 

Bnf_Compo

Background/ Previous Auctions :

Weekly levels: For Banknifty we have updated a spot auction view with a chart at: http://vtrender.com/nifty-bn-weekly-view-spot-for-18-jan-22-jan16/

Observations in Today’s/ Previous sessions:

(based on Fut prices)

#) The BNF was also a  Normal Variation day setup with singles at the highs

#) vwap of the session was at 15105 with volumes of 52 L in a session which traded a 15360-14901 range of 460 points

#) day POC was at 14900 levels 

#) In trades today, we shorted BNF at 15270-15280 and closed fully at 15085 for a net 200 points

#) We also attempted a second short at 15040 lower but we scratched it at cost in view of the higher volatility.

#) Value areas are at 15200-15120-15024  for bias. . For using value areas effectively visit: http://vtrender.com/popular-market-profile-trading-setups/

 

K.R.A is 14860 F  ( K.R.A= key reference area)

 

 The trend is going down again.