We had a Neutral extreme day in NF and a normal variation in the BankNifty today.
The larger OrderFlow swing trades are still running and are up over 70 points in the NF and about 400 points in the BankNifty
In my post on Friday I mentioned
Incidentally it is the first sell signal which failed in MAY to produce results for us. It may allude to the changing nature of the market.
It's the first big buy signal for us in the month of May and the market is doing well away from it's recent lows.
The rules we use to trade are still the same and you fill find example in the charts above.
We always say Buyers live above VAH and VWAP and sellers below VAL and VWAP. Today's market again showed how the buyer responded to lower prices by buying heavily at VAH in both the Nifty and the BankNifty.
Continue to be long in the market till you see price above VAH and VWAP. We should also see a Positive range extension above IB high that all is well with buyers.
A few trades from today :
1) A move above IBH in NF at 4949 was met with failure as the market broke IBH and vwap. An ideal stop for that trade would have been vwap at 4944 then.
2) A sell below vwap for IB low had a good success ratio as the market went to complete the IB band Trade
3) A second IB band trade played out as the market again reentered IB low and went to IB high
4) A move above IB high to 2IB was met with success this time around as the market finished the range extension.
Likewise in BN a move above IBhigh went to 2IB and then 3IB too.