NF has closed on Friday with outside weekly bar and had a solid rally into close. 14980-15065 band was ref to consider if this rally was just inventory adjustment or real demand came in.. NF had opened around 14980 zone and could not scale higher..Below 14980 considered weak till 14880 which happened during IB itself..If sustained below 14880 then probe was for 14760 and NF did a DD down trend day to move all the way down till 14640 and closed at day low.
Auction pointers from the day :
One time frame down continues for 4th day.
NF printed double distribution down trend day with clear extn handle/singles at 14865 which becomes good swing ref now.
Though it was clear trend day, last hour move has left clear poor value area and anomalies in the profile which could be repaired tomorrow if we sustain above 14740.
One important observation from today's auction is rotation factor..NF had a rotation factor of -20 and BNF at -18..These are highest reading I have seen in last few years.This suggests market is too stretched as of now.If we sustain below this profile with value then some solid sell off possible.But combining DD structure and this rotation factor, odds are higher for some relief session tomorrow after 4days of one time frame down..Either by some short squeeze and repair poor value area or with two way auction inside day this day could play out..14580 am keeping as negation for this cool off factor and looking for solid 100 pointer sell off again minimum if 14580 taken out.
Weekly outside bar has resolved downside today with week starting with lower value and focus from here onwards to look for sideways to downskew till we have value below 14980..
dPOC moved down by close and close was at low and sellers had skew with them by close..For early session tomorrow this 14690-14720 dPOC/last hour spike down zone is ref to focus and direction of sustaining this range could decide tone for rest of the session.
Price wise, above 14690 could get 14720-14740 and bullish if sustains for 14780/14810 and quite bullish above 14820 for 14860/14920/14960-14980.
Failing to sustain below 14640 and acceptance above 14700 also bullish with same obj as mentioned above..
Failing to sustain above 14720 could test 14665 and weak further for 14630-14620 if sutains then could drop to 14580 and quite weak below for 14540/14510/14480-14450.
Charts and data :
Detailed plan with references to carry forward, trade hypos for next session, any importance nuance from the day and view based on weekly and monthly time frame are available to members.
Notes :
a) Check glossary page in website if any of the terms used in the post are not clear.
b) If images are not clear, click on them for enlarged view.
Komentáře