Market Profile Analysis dated 12th August 2020

Nifty Aug F:  11318 [ 11338 / 11231 ]

HVNs – 10918 / 10970 / 11095 / 11160 / 11196

NF opened with a big gap down of more than 100 points giving a hat-trick of OAOR (Open Auction Out of Range) as it made new lows for the week at 11231 but got rejected from Monday’s low & multi-day FA of 11242 leaving a small buying tail in the IB (Initial Balance) where it made a high of 11277. The auction then made a C side extension in the buying tail but left a PBL (Pull Back Low) at 11250 which indicated good demand and this led to a RE (Range Extension) higher in the ‘D’ period as NF left an extension handle at 11277 and continued to probe higher till the ‘H’ period as it got back into the previous day’s range while making a high of 11329. Having completed the 2 IB target of 11323, the auction then made a retracement over the next 2 periods as it tagged the VWAP and left a PBL at 11285 just above the extension handle of 11277 which meant that the PLR was still to the upside. NF then went on to make new highs for the day at 11338 in the ‘K’ period but got stalled at yVAL before closing the day at the dPOC of 11313 leaving a well balanced upper distribution for the day. Value for the day was lower but NF seems to have good support at 11309 & 11285 whereas on the upside, getting acceted above 11335 would be the key for a test of the VPOC of 11365 and higher.

Click here to view the latest MP Lite chart of NF

  • The NF Open was a Open Auction Out of Range (OAOR)
  • The Day type was a Double Distribution Trend Day – Up (DD)
  • Largest volume was traded at 11313 F
  • Vwap of the session was at 11296 with volumes of 98.2 L and range of 107 points as it made a High-Low of 11338-11231
  • NF confirmed a multi day FA at 11242 on 11/08 and the 1 ATR objective comes to 11391. This FA got revisted and is no longer a valid reference.
  • The settlement day Roll Over point (Aug) is 11095
  • The VWAP & POC of Jul Series is 10897 & 10803 respectively.
  • The VWAP & POC of Jun Series is 10110 & 10110 respectively.
  • The VWAP & POC of May Series is 9183 & 9109 respectively.

You can check the monthly charts & other swing levels for Nifty & NF here & for the weekly charts & analysis, please click here.

Daily Zones:

  • Value zones (volume profile) are at 11266-11313-11336

Main Hypos for 13.08.2020:

a) NF needs to sustain above 11335 for a rise to 11365*-391 / 11427-442 & 11465-484
b) The auction staying below 11309 could fall to 11285-266 / 11237-224* & 11193-164

Extended Hypos:
c) Above 11484, NF can probe higher to 11503-541 / 11565-580 & 11600-631*
d) d) If 11164 is taken out, NF could fall to 11149-130 / 11094-057 & 11022-004


BankNifty Aug F:  22316 [ 22385 / 22000 ]

HVNs – 21545 / 21615 / 22151

Click here to view the latest MP Lite chart of BNF

BNF also opened lower as it tested Monday’s VPOC of 22030 but immediately for back into previous day’s range leaving a long buying tail in the IB from 22000 to 22152 which indicated strength on the upside. The auction then tested this buying tail in the ‘C’ period and made similar low of 22129 in the ‘D’ period which indicated exhaustion on downside and led to a OTF (One Time Frame) move higher for the next 5 periods as BNF made new highs for the series at 22373. This OTF ended in the ‘I’ period which brought a retracement to the VWAP in the ‘J’ period which was defended as the auction left a PBL at 22240 and went on to make marginal new highs for the day at 22385 in the ‘K’ period before closing day around the dPOC of 22330. BNF has formed an outside bar on the daily with overlapping to higher Value and has formed a 2-day composite with Value at 22131-22182-22312.

  • The BNF Open was a Open Auction (OA)
  • The Day type was a Normal Variation Day – Up (NV)
  • Largest volume was traded at 22330 F
  • Vwap of the session was at 22254 with volumes of 56 L and range of 384 points as it made a High-Low of 22385-22000
  • BNF confirmed a multi day FA at 21802 on 11/08 and tagged the 1 ATR objective of 22333 on 06/08. The 2 ATR objective comes to 22864
  • The settlement day Roll Over point (Aug) is 21615
  • The VWAP & POC of Jul Series is 22163 & 22087 respectively.
  • The VWAP & POC of Jun Series is 20918 & 21000 respectively.
  • The VWAP & POC of May Series is 18767 & 19633 respectively.

For the Monthly charts & other swing levels for BankNifty & BNF click here & for the weekly charts & analysis, please click here.

Daily Zones:

  • Value zones (volume profile) are at 22170-22330-22350

Main Hypos for 13.08.2020:

a) BNF needs to sustain above 22350 for a rise to 22398 / 22458-550 / 22600-710 / 22829-865 & 22930
b) The auction accepting below 22308 could test 22240 / 22176-129 / 22091-020 / 21980-851 & 21775*-697

Extended Hypos:

c) Above 22930, BNF can probe higher to 23000*-120 / 23230 / 23313-370 / 23440 & 23510-580
d) Breaking below 21697, it could fall to 21654-558 / 21505-480 / 21400-312 / 21245-183 & 21085-039

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