Market Profile Analysis dated 27th July 2020

Nifty Jul F:  11122 [ 11225 / 11070 ]

HVNs – 10190 / 10293 / 10475 / 10570 / 10728 / 10764 / 11112

Previous day’s report ended with this ‘Value for the day was completely lower though the close was way above the VAH as NF has been forming a balance over the last 4 days with the composite Value at 11090-11123-11176 and has a good chance to move away from this balance in the coming session(s).

NF opened higher but got stalled just below previous week’s high of 11228 as it got rejected from 11225 to not only get back into previous day’s range but also completed the 80% Rule in the 4-day composite Value of 11176 to 11090 in the IB (Initial Balance) itself as it made a low of 11070 taking support just above PDL (Previous Day Low). The auction then remained in this large IB range of 155 points all day forming a ‘b’ shape profile with a long selling tail from 11166 to 11225 which will be the reference now on the upside in the coming days.

We now have a 5-day composite with Value at 11090-11123-11169 and this balance could soon give way to an imbalance in the coming session(s).

Click here to view the MP Lite chart of the 5-day composite in NF

  • The NF Open was a Open Rejection Reverse – Down (ORR) on low volumes
  • The Day type was a Normal Day (‘b’ shape profile)
  • Largest volume was traded at 11110 F
  • Vwap of the session was at 11127 with volumes of 122.2 L and range of 155 points as it made a High-Low of 11225-11070
  • NF confirmed a FA at 10921 on 20/07 and tagged the 2 ATR objective of 11222 on 23/07. This FA is currently on ‘T+6’ Days
  • NF confirmed a multi-day FA at 10533 on 06/07 and tagged the 1 ATR objective of 10742 on 06/07. The 2 ATR target is at 10950. This FA has not been tagged and is now positional support.
  • NF confirmed a FA at 10440 on 02/07 and tagged the 2 ATR objective of 10868 on 13/07. This FA has not been tagged and is now positional support.
  • NF confirmed a FA at 10172 on 29/06 and and the tagged the 2 ATR target of 10619 on 06/07. This FA has not been tagged and is now positional support.
  • The 18th June & 01st July Trend Day VWAPs of of 9957 & 10350  would be important support levels.
  • The settlement day Roll Over point (Jul) is 10240
  • The VWAP & POC of Jun Series is 10110 & 10110 respectively.
  • The VWAP & POC of May Series is 9183 & 9109 respectively.
  • The VWAP & POC of Apr Series is 8999 & 9010 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 11106-11110-11154

Main Hypos for 28.07.2020:

a) NF needs to sustain above 11123 for a rise to 11158-169 / 11195-201 / 11225 & 11268-280
b)The auction staying below 11112 can test lower levels of 11090 / 11062-040 / 11010 & 10967

Extended Hypos:
c) Above 11280, NF can probe higher to 11301-317 / 11350 / 11380-400 & 11442
d) If 10967 is taken out, NF could fall to 10940-913 / 10880 / 10834 & 10810-798


BankNifty Jul F:  21859 [ 22647 / 21818 ]

HVNs – 21000 / 21345 / 21430 / 21723 / 21840 / 22180 / 22720 / 22806

Click here to view the MP Lite chart of the latest profile of BNF

BNF continued the long liquidation seen on Friday with an Open Test Drive lower from the YPOC of 22620 as it fell by almost 600 points in the IB hitting a low of 22051 and leaving a big selling tail from 22170 to 22647. Such a large IB range generally leads to a small balance being formed but the auction went on to make a RE lower first in the ‘E’ period where it made a new low of 21904 & then gave a spike into the close as it made new lows of 21819 to leave yet another ‘b’ shape profile.

  • The BNF Open was a Open Test Drive – Down (OTD)
  • The Day type was a Normal Variation Day – Down (NV)
  • Largest volume was traded at 22080 F
  • Vwap of the session was at 22045 with volumes of 71.8 L and range of 829 points as it made a High-Low of 22647-21819
  • BNF confirmed a FA at 20901 on 29/06 and the tagged the 2 ATR target of 22625 on 07/07. This FA has not been tagged and is now positional support.
  • The 18th June & 01st July Trend Day VWAPs of 20494 & 21650 would be important support levels.
  • The settlement day Roll Over point (Jul) is 21430
  • The VWAP & POC of Jun Series is 20918 & 21000 respectively.
  • The VWAP & POC of May Series is 18767 & 19633 respectively.
  • The VWAP & POC of Apr Series is 19605 & 19710 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 21934-22080-22175

Main Hypos for 28.07.2020:

a) BNF needs to sustain above 21885 for a rise to 21942-990 / 22045-080 / 22175 / 22326-375 & 22466-477
b)The auction accepting below 21840 could test 21760-723 / 21645-600 / 21530-417 / 21360-300 & 21240

Extended Hypos:

c) Above 22477, BNF can probe higher to 22565-620 / 22685-729 / 22811-850 / 22918-970 & 23027
d) Breaking below 21240, it could fall to 21160-100 / 21055-021 / 21901 / 20784 & 20704

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