Daily market summary of NF and charts, data of NF & BNF -03Jun'21

NF had a failed auction and neutral extreme up day with spike close in last session.Observation was that buyers in control and they need to go for higher value to defend the 45 degree price move away from POC happened at close. NF opened today way higher above spike high and remained in tight range for first session and then move down failed to enter into spike zone.Then, gone for another neutral day with close at high after clearing IBH.

Auction pointers :

NF printed another neutral extreme up day and another FA at low.

Buyers in advantage as spike is accepted and gone for higher value day with another neutral day. They need to defend 15660-15680 now to rally further higher else NF could turn into chop.

NF high yet to have secured end and auction looks incomplete.

Swing view of balance still intact. Auction above 15700 today is only by neutral auction. Will wait one more day to see if they are able to create clean all day value above 15700. Even if we shoot towards 15750, still would expect mean reversion move. Check below image of composite since 28th to get better understanding as why mean reversion move is expected to get the fill in composite. Looking for some more fill in the circled zones ( atleast top two circle zones) before any larger fill.

Check plan below for trade hypos for next session. 15660-15680 roughly pivot zone tomorrow.. Stay above, could look higher and stay below, could move lower to fill spike zone of yesterday if accepts below spike low zone 15580 then further down move possible.

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 :

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.