Buyers established control all day in previous session with buying tail + higher value and had dPOC skew at dVAH at close. Observation was that it was favouring buyers to get follow through higher. NF opened around PDH and got slow open drive which later turned into double distribution trend day and ended as 3IB day closing at high. Above 15920 probe was for 16020 and NF shot up higher further even surpassing weekly obj 16100 level.
Pointers from today's auction :
NF cleared excess at previous ATH and registered daily extension handle at start of month now..This 15970-15950 zone now becomes good swing support going forward.
NF registered 4th day of one time frame up.
It was double distribution 3IB trend day.Clearly a emotional trend day as buyers wanted to finish up auction quicker.Emotional trend day due to not more than 25 points pullback all day which resulted in rotation factor of 21.Such RF suggesting too stretched auction.This is highest reading and if am right never seen such RF with NF in last 7-8 years.
Immediate reaction after such too stretched auction is to look for balance in coming sessions.Struture wise with such elongated structure upside rally further is capped on daily time frame without a clean balance for a session or two atleast.
Overall it was good volume session especially after 16060 extension..Hence 16040-16060 zone becomes good immediate support for next few sessions then 15990-15970 zone as mentioned above. Bullish as long as we hold these zones.
Swing long from 15860 now met its final obj 16100. Weekly/monthly projection upside is till 16200 and after today's auction not expecting 16200-16300 band to be cleared on swing without balance..Will decide next swing trade post 1-2 sessions from here.
Looking for balance in next session roughly between 16050-16200. Trade hypos mentioned below for tomorrow.
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 via private blog.
Notes :
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