Market Profile Analysis dated 20th October 2020

Nifty Oct F:  11896 [ 11945 / 11831 ]

NF opened lower but was swiftly rejected from 11831 as it got back into previous day’s Value as it not only completed the 80% Rule in the ‘A’ period but scaled above PDH (Previous Day High) to hit 11918 after which it formed an inside bar in the ‘B’ period but left an important buying tail from 11869 which indicated that the bias was on the upside. The auction then had a quiet C period and made a RE (Range Extension) higher in the ‘D’ period followed by another one in the ‘F’ as it tagged the VPOC of 11934 while making a high of 11945 but could not sustain above the weekly POC of 11942 suggesting that supply was increasing here. NF then made a retracement on the downside breaking below VWAP as it left a PBL at 11886 in the ‘J’ period before closing the day right at the dPOC of 11893 forming a ‘p’ shape profile and the ability of the auction to stay above or below this POC would be the deciding factor in the next open.

Click here to view NF form a ‘p’ shape profile on MPLite

  • The NF Open was a Open Auction In Range (OAIR)
  • The Day type was a Normal Variation Day – Up (‘p’ shape profile)
  • Largest volume was traded at 11893 F
  • Vwap of the session was at 11905 with volumes of 92.9 L and range of 114 points as it made a High-Low of 11945-11831
  • 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 11891-11893-11923

HVNs – 10962 / 11220* / 11425 / 11590 / 11740 / 11890* / 11942

Hypos for 21.10.2020:

a) NF needs to sustain above 11899 for a rise to 11938-980 / 12012-059 & 12088-121
b) The auction staying below 11886 could test 11854-817 / 11765-720 & 11680-655


BankNifty Oct F:  24352 [ 24460 / 24086 ]

BNF opened with a gap down of almost 200 points but took support just above previous VAL of 24041 and probed higher till the ‘F’ period making multiple REs as it got above PDH to make new highs for the week at 24460 but could not find fresh demand triggering a move back into the IB as it briefly broke VWAP in the ‘H’ period but left a PBL at 24248 and formed a balance for the rest of the day building volumes at 24350 and closed right there. Value for the day was overlapping to higher which means that the PLR for this week is still on the upside and needs a move away from 24350 on good volumes.

Click here to view the BNF continue to form Value above the 6-day composite on MPLite

  • The BNF Open was a Open Auction In Range (OAIR)
  • The Day type was a Normal Variation Day – Up (NV)
  • Largest volume was traded at 24360 F
  • Vwap of the session was at 24315 with volumes of 62.5 L and range of 374 points as it made a High-Low of 24460-24086
  • 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 24264-24360-24413

HVNs – 20538 / 20822 / 21400* / 22090 / 22640 / 22890 / 23330* / 23730

Hypos for 21.10.2020:

a) BNF needs to sustain above 24410 for a rise to 24475 / 24531-594 / 24650-720 / 24800-936 & 25008-105
b) The auction staying below 24315 could test 24239-155 / 24072 / 23985-873 / 23786-751 & 23600

For more tradeable ideas and intraday trading strategies based on MarketProfile and the OrderFlow live charts with OrderFlow analysis Live, subscribe to the trading room. The Vtrender Trading Room hosts India’s largest MarketProfile community live every trading session from 9.15 am to 3.30 pm.

If not a Trading Room member you can get immediate access at – https://www.explara.com/e/vtrendertradingroomlive