Market Profile Analysis dated 13th August 2020

Nifty Aug F:  11317 [ 11367 / 11266 ]

HVNs – 10918 / 10970 / 11095 / 11160 / 11196

NF opened above 11335 and went on to almost tag the VPOC of 11365 in the IB (Initial Balance) as it made a high of 11362 but remained in a very narrow range of just 35 points marked with the lowest volumes of the series in the IB as well indicating poor trade facilitation. The auction made an attempt to extend the range higher in the ‘D’ period as it made new highs of 11367 but was swiftly rejected and this empowered the sellers to take control as NF broke below the day’s low confirming a FA (Failed Auction) at top and made a quick fall to 11275 in the ‘E’ period. The ‘G’ period then made a lower low of 11266 but took support at previous week’s VAH as it left a small buying tail at lows and formed a balance for the rest of the day building volumes around 11305 and closed the day at the same level as previous day. NF has been forming a balance this week and the 4-day composite has Value at 11286-11309-11354 so staying above 11309, it could fill up the upper part of this composite in the next session.

Click here to view the MPLite chart of the 4-day composite in NF

  • The NF Open was a Open Auction (OA)
  • The Day type was a Neutral Day (NeuD)
  • Largest volume was traded at 11305 F
  • Vwap of the session was at 11321 with volumes of 87.2 L and range of 100 points as it made a High-Low of 11367-11266
  • NF confirmed a FA at 11367 on 13/08 and the 1 ATR objective comes to 11222.
  • 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 11288-11305-11344

Main Hypos for 14.08.2020:

a) NF needs to sustain above 11326 for a rise to 11354-362 / 11391-427 * 11442-465
b) The auction staying below 11305 could fall to 11288-269 / 11237-224* & 11193-164

Extended Hypos:
c) Above 11465, NF can probe higher to 11484-512 / 11541-580 & 11600-631*
d) If 11164 is taken out, NF could fall to 11149-130 / 11094-057 & 11022-004


BankNifty Aug F:  22189 [ 22444 / 22189 ]

HVNs – 21545 / 21615 / 22188

Click here to view the latest 3-day composite chart of BNF in MP Lite

BNF opened higher and went on to make new highs for the series at 22444 in the IB but similar to NF, made the lowest range of just 85 points along with the lowest volumes in the first hour indicating lack of demand in this zone. The auction then made a C side extension lower which was rejected leading to a probe above VWAP but still could not find strong buyers to probed above morning highs as it left a PBH (Pull Back High) at 22425 in the ‘E’ period and made a fresh RE lower as it left an extension handle at 22330 and went on to complete the 3 IB objective of 22192 as it made a low of 22154 in the ‘G’ period. This imbalance then led to a balance being formed for the next 3 periods as BNF made a slow probe back to VWAP but an attempt to get above it in the ‘K’ period was met with rejection just below the morning extension handle of 22330 resulting in a new PBH of 22308 triggering a fresh leg down as the auction made new lows of 22122 in the ‘K’ period itself and saw some profit booking into the close as the dOC shifted lower to 22192 leaving a DD profile for the day. The attempt to move away from the 2-day balance failed hence now we have a 3-day composite with Value at 22133-22188-22319.

  • The BNF Open was a Open Auction (OA)
  • The Day type was a Double Distribution Trend Day – Down (DD)
  • Largest volume was traded at 22192 F
  • Vwap of the session was at 22280 with volumes of 49.3 L and range of 321 points as it made a High-Low of 22444-22122
  • 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 22140-22192-22370

Main Hypos for 14.08.2020:

a) BNF needs to sustain above 22192 for a rise to 22241-320 / 22400-458 / 22550 & 22600-710
b) The auction accepting below 22185 could test 22140-091 / 22020 / 21980-945 / 21851-775* & 21697

Extended Hypos:

c) Above 22710, BNF can probe higher to 22829-865 / 22930 / 23000*-120 & 23230
d) Breaking below 21697, it could fall to 21654-558 / 21505-480 / 21400-312 & 21245-183

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