Today was a rare day when OTF failed to hold vwap and the market moved swiftly to the other extreme of the market as players closed quickly their morning positions
The chart shows a P shaped profile which got corrected in the last 45 minutes of trade.
In the BNF what the late afternoon move does is gives us a close below 12228 again and possibly a failed breakout.
The inference is that the market has to go lower to get new buyers again.
For tomorrow I see a move below 12144- 12160 take the market down to 11916 and possibly 11821.
However buyers are expected to show at 11821 and if that happens the profile projects a close at either 12095 or 12144
Eyes would be on 12144 for possible downsides
On the higher side today’s vwap at 12281 is now new resistance below 12333 as any move up over there may invite today’s trapped players to exit their holdings.
In the NF also we saw the same kind of liquidation as in BNF
The chart made it to the lower end of balance at 6515 after failing to do a big break away move near balance highs of 6594
There could be some long liquidation if NF stays below 6515 in the IB.
In that case targets we have been mentioning all week of 6480 and 6446 come immediately into play.