NF had partially accepted extension singles of 21st sell off day in yesterday's auction. Sustaining further in those extension singles was expected to fill entire single prints of 21st.Mentioned that important to hold 13440-13450 zone early in session after such long liquidation profile turned into neutral profile to look for further move higher.NF held this 13440-13450 zone at open test and gone for open test drive up with large A period move. Holding this zone probe was for 13530/13575 then 13640. NF had a slow trend day move to print till 13627 and closed at high.
Auction pointers from the day :
NF had a large tail and printed a trend day. Actually the auction falls in between trend day and normal variation with spike but am going with trend day considering the nature of auction it established all day like not having > 2 period of lower low and all day had discreet move to close at high. Being a trend day, VWAP becomes good support for next session.
NF negated most of extension singles left on 21st 7IB down day.It suggests supply is not keen to hold and acceptance of these extension singles suggests more upside possible. Further follow-up from this trend day could get 13655 and 13740 remaining major ref left from 21st (extension handle and POC respectively).13550 is ref for negation of this view.
Today's auction though trend day, had a sluggish move with stretched rotation factor and poor value area. To avoid repair of poor value area and to compete the probe which they started with FA at low from yday auction, good for buyers to stay away from this value area in first session. Failing to sustain higher and accepting back in today's profile could negate today's trending auction and could go for value area probe.
13580-13590 support tomorrow and holding above this zone could move to 13650 then some balance and then could move to 13690/13740-13770.
Weak below 13580 for 13550-13535/13510-13490 and quite weak below 13480 for 13450/13420-13400.
Charts and data :
Detailed plan with refs to carry forward, trade hypos and nuances from the day are available to members.
Notes :
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