A slowish open offering poor trade facilitation turned on it’s head when POC of the previous session broke and went through the profiles of 11-16 Sept to finish at the lows of that multi-session balance.With 2 days left for expiry, the market finds itself again at the developing vwap of Sept near 7825 spot
Nifty Sept F:
Background / Previous Auctions :
Weekly levels: We have done a review on weekly charts at: http://vtrender.com/nifty-bn-weekly-view-spot-for-21-sept-24-sept15/
Observations in Today’s/ Previous sessions:
(based on Fut prices)
#) The NF tried to trade above yesterday’s highs but once below POC the auction was a fast spiral downwards.
#) vwap of the day was at 7907 with volume of 217.7 L in a trade which worked a 8013-7776 range of 237 points
#) Day POC was at 7992 levels near the highs.
#) The selling got emotional below the 7920 mark as the technical trade setup through old balance took hold. Holding 7760 we are playing for a double distribution with auction probing 7858 again.
#) The NF closed at the lows of the 3-day balance of last week.
#) The OrderFlow of today shows sellers at 7980-8010 early in the session but there wasn’t any active selling as we moved lower
#) Value areas are at 8010-7992-7854– 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 Sept F)
K.R.A is 7858 ( K.R.A= key reference area)
Hypo1 ) If NF auctions above 7790 it could move to 7858 and 7940. SL for this view is 7755
Hypo 2) IF NF auctions below 7755 it could move to 7699 and 7617. Sl for this view is 7795
BankNifty Sept 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-21-sept-24-sept15/
Observations in Today’s/ Previous sessions:
(based on Fut prices)
#) The BNF profile failed again at 17640 and closed at session lows .
#) vwap was at 17334 with volumes of 60.5 L in a trade which worked a 17640-16920 range of 720 points.
#) day POC was at 17520 levels
#) Profile finished near the highs of the 3 day balance of last week.
#) A failure to stay above 16900 tomorrow should invite 16500 and 16047 again.
#)OrderFlow shows a mixed session and buyers and sellers were not very aggressive in establishing fixed positions at levels.
#) Value areas are at 17616-17520-17136 for bias. . For using value areas effectively visit: http://vtrender.com/popular-market-profile-trading-setups/
Hypothesis :
( Based on Sept Futures)
K.R.A is 17160 ( K.R.A= key reference area)
Hypo1 ) IF BNF auctions above 17162 it could move to 17411. Sl for this view is 17066.
Hypo 2) If BNF auctions below 16900 it could move to 16682 and 16506. SL for this view is 17015.
All Hypos to be traded with the mentioned stops and mechanically. If in the trading room, can use the Order Flow to qualify the entry and exit for the hypos.