A triple distribution down day took the NF very early in the IB below weekly supports and forced it down to session lows as sellers took full control of the auction today. At the close the NF was down 140 points and the BNF 385 on day .The auction remained unfinished at close with the possibility of 8325 being hit again open.
Nifty July F :
Background / Previous Auctions :
Weekly levels : We have done a review on weekly charts at : http://vtrender.com/nifty-bn-weekly-view-spot-for-27-july-31-july15/
The nifty view has been updated in the above post on 27/07
Observations in Today’s/ Previous sessions :
(based on Fut prices)
#) NF Profile was seen auctioning down from Open all day and again closed at lows.
#) vwap of the day was at 8424 with volume of 135.3 L (More than the Previous session)
#) This was the second straight session below VAL. These are small hints the markets keep throwing at us as we follow the “footprints” in the sand.
#) For a change the auction was also below the spike lows of friday
#) Value areas are at 8468-8446-8398 – 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 July F)
K.R.A is 8322 ( K.R.A= key reference area)
Hypo 1) If NF auctions above 8377 then it can move to 8408 and 8450. . Sl for this view 8322
Hypo 2) If NF auctions below 8322 it can move to 8274 and 8232. Sl for this view is 8371.
BankNifty July 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-27-july-31-july15/
The Banknifty view has been updated in the above post on 27/07
Observations in Today’s/ Previous sessions :
(based on Fut prices)
#) The BNF profile auctioned below the neutral extreme of friday and again closed at lows
#) vwap was at 18349 with volumes of 32.5 L ( More than the previous session)
#) Auction was below the lows of friday
#) We see a failed auction at 18907 which was the support previously and now resistance. It is on day T+1
#) the entire session was below the previous Failed Auction at 18581 from 10/07
#) Value areas are at 18390-18270-18235 for bias. . For using value areas effectively visit : http://vtrender.com/popular-market-profile-trading-setups/
Hypothesis :
( Based on Futures)
K.R.A is 18136 ( K.R.A= key reference area)
Hypo 1) If BNF auctions above 18393 then it can move to 18526 . Sl for this view is 18330.
Hypo 2) If BNF auctions below 18136 then it should attempt to move to 18004 and 17830 . Sl for this view is 18277