The day was an inside day with a net 300 Lakh plus in volumes between 8457 and 8355 with clear signs of sellers at the highs and responsive buying at the lows. That kind of volume in that range calls for a breakout and odds are high to get one tomorrow. MO at -71 evens out the negative bias prevalent in the past 4 sessions and we will enter tomorrow’s trade with a neutral bias .
Nifty Aug F :
Background / Previous Auctions :
Weekly levels : We have done a review on weekly charts at : http://vtrender.com/nifty-bn-weekly-view-spot-for-10-aug-14-aug15/
Observations in Today’s/ Previous sessions :
(based on Fut prices)
#) The NF balanced today and was inside wednesday’s range
#) vwap of the day was at 8404 with volume of 115.6 L ina trade which worked a 8445-8357 range
#) The Profile closed near day vwap and POC today
#) OrderFlow shows sellers at 8435+ and buyers at 8365-
#) Larger Auction has moved back from imbalance to balance and is now evenly poised.
#) Value areas are at 8428-8400-8382– 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.
Hypothesis :
(based on Aug F)
K.R.A is 8344 ( K.R.A= key reference area)
Hypo 1) If NF auctions below 8344 then it could move to 8298 and 8270 . Sl for this view 8391
Hypo 2) If NF auctions above 8435 it could move to 8463 and 8504. Sl for this view is 8399.
BankNifty Aug F :
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-10-aug-14-aug15/
Observations in Today’s/ Previous sessions :
(based on Fut prices)
#) The BNF profile also balanced today bringing an end to the big imbalance from 18800.
#) vwap was at 18268 with volumes of 32.9 L in trade which worked a 18410-18135 range
#) The auction of today just fell short of the 18440 range extension point.
#) OrderFlow shows heavy selling at 18400 today and comparatively the buying response from 18150 was lesser.
#) Value areas are at 18355-18255-18225 for bias. . For using value areas effectively visit : http://vtrender.com/popular-market-profile-trading-setups/
Hypothesis :
( Based on Aug Futures)
K.R.A is 18130 ( K.R.A= key reference area)
Hypo 1) If BNF auctions above 18440 then it could move to 18505 and 18590. Sl for this view is 18340.
Hypo 2) If BNF auctions below 18130 then it could attempt to move to 17950 . Sl for this view is 18235