Market Profile Analysis dated 15th October 2020

Nifty Oct F:  11685 [ 11999 / 11663 ]

NF opened in the Neutral Extreme zone of 11945 to 12003 but got rejected from 11999 after which it gave a quick move lower to 11908 in the ‘A’ period where it saw demand coming back leading to a good retracement to 11976 in the ‘B’ period leaving a small tail at both ends in the IB indicating an equal fight between the buyers & sellers. The auction remained in this range for the next 2 periods but importantly stayed below VWAP and negated the buying tail of the IB which meant that the sellers were being more aggressive and this led to a RE (Range Extension) lower in the ‘E’ period where NF left an Extension Handle at 11908 and made a OTF (One Time Frame) lower for the rest of the day as it not only tagged the yPOC of 11850 but went on to complete the 3 IB target of 11725 tagging the VPOC of 11740 in the process and finally completed the 1 ATR objective lower from the negated FA of 11817 leaving a Trend Day Down to close around the lows of 11663.

Click here to view the Trend Day Down in NF on MPLite

  • The NF Open was a Open Rejection Reverse – Down (ORR)
  • The Day type was a Trend Day – Down (TD)
  • Largest volume was traded at 11926 F
  • Vwap of the session was at 11843 with volumes of 168.9 L and range of 336 points as it made a High-Low of 11999-11663
  • NF confirmed a FA at 11817 on 14/10 and tagged the 1 ATR objective of 11965 on the same day. This FA got revisited on 15/10 and completed the 1 ATR move down to 11669
  • NF had confirmed a FA at 10857 on 25/09 and tagged the 2 ATR objective of 11165 on 28/09. This FA has not been tagged and is now positional support.
  • The settlement day Roll Over point (Oct) is 10830
  • The VWAP & POC of Sep Series is 11353 & 11560 respectively.
  • The VWAP & POC of Aug Series is 11311 & 11311 respectively.
  • The VWAP & POC of Jul Series is 10897 & 10803 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 11664-11888-11893

HVNs – 10962 / 11220* / 11425 / 11590 / 11740 / 11870 / 11920*

Main Hypos for 16.10.2020:

a) NF needs to sustain above 11690 for a rise to 11706-730 / 11750-768 / 11800 & 11830-843
b) The auction staying below 11675 could test 11645-627 / 11613-590* / 11565-550 & 11520*

Extended Hypos:
c) Above 11843, NF can probe higher to 11864-889 / 11915-926 & 11953-996
d) If 11520 is taken out, NF could fall to 11495-476 / 11455-425* / 11410-396 & 11366


BankNifty Oct F:  23110 [ 24140 / 22995 ]

BNF made an OH (Open=High) start at 23970 and probed lower breaking below the Neutral Extreme zone of 23798 as it dropped by almost 300 points in the A period making a low of 23683 but was swiftly rejected as it got back above VWAP and this triggered a quick short covering move as the ‘B’ period started with the auction not only negating the OH start of 23970 but scaling above PDH (Previous Day High) as it hit 24140 getting above the NeuX zone. However, BNF could not sustain above PDH as it left a small but important selling tail in the previous supply zone of 24185 to 24216 from Monday which meant that the sellers were very much active here. The auction then remained in a narrow range of 175 points between 24025 to 23850 till late afternoon as it built volumes at 23900 before the ‘H’ period gave the first sign of sellers taking control as it got into the buying tail of the IB and more confirmation of this came in the ‘I’ period as BNF left an extension handle at 23683 triggering a big liquidation move for the rest of the day resulting in the FA of 23212 getting revisted which attracted more selling and a further fall to 22995 into the close as the VPOC of 23000 got tagged.

Click here to view the Trend Day Down in BNF on MPLite

  • The BNF Open was a Open Auction In Range (OAIR)
  • The Day type was a Trend Day Down (TD)
  • Largest volume was traded at 23900 F
  • Vwap of the session was at 23691 with volumes of 90.5 L and range of 1145 points as it made a High-Low of 24140-22995
  • BNF confirmed a FA at 23212 on 14/10 and tagged the 1 ATR objective of 23769 on the same day. This FA got revisited on 15/10 & is no longer a valid reference.
  • BNF had confirmed a FA at 20431 on 25/09 and tagged the 2 ATR objective of 21490 on 28/09. This FA has not been tagged and is now positional support.
  • The settlement day Roll Over point (Oct) is 20490
  • The VWAP & POC of Sep Series is 22320 & 22320 respectively.
  • The VWAP & POC of Aug Series is 22444 & 21595 respectively.
  • The VWAP & POC of Jul Series is 22163 & 22087 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 23486-23900-24135

HVNs – 20538 / 20822 / 21400* / 22090 / 22640* / 22890 / 23000 / 23730

Main Hypos for 16.10.2020:

a) BNF needs to sustain above 23128 for a rise to 23191-250 / 23360-440 / 23500-605 & 23685-751
b) The auction staying below 23044 could test 22992-900 / 22815-750 / 22685-650* & 22575-500

Extended Hypos:
c) Above 23751, BNF can probe higher to 23830-900 / 23970-24059 / 24129-185 & 24226-320
d) Breaking below 22500, it could fall to 22440*-380 / 22319-227 / 22155-020 & 21965-896

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