Daily market summary of NF and charts, data of NF & BNF -16Feb'22

NF had > 3IB triple distribution up day in last session with underlying structure quite weak. Buyers expected to defend extension singles of the day and get higher value and once gets higher value they expected not to enter back in previous day range..NF in volatile session today, morning session defended extension singles and gone for higher extension above PDH with higher value but towards close could not sustain and came back to range of last session and pushed down to morning tail zone then closed at dVAL.

Above 17420 suggested long which got whipped at open..Failing to sustain below 17310 and move above 17340 was marked for 17420 which happened post rejection at extn singles in morning session..Then, that above 17420 probe for 17490 happened..Failing to stay above 17440 and back below 17360 marked for 17290-17270 which got probed in closing hours.

Recap of today's auction :

It was neutral day with 3-1-3 profile i.,e clean two way balance with tails at both ends..Sustain value area = trend ; Accept value area = probe entire value area..

As discussed during the day, close was weak with dPOC skew down..Considering neutral day and this dPOC skew, edge with sellers at close..Holding below 17340-17370 band could look for skew down to probe the extension singles of 15/02.. If accepts and scales above this band then could look for heavy chop two chop overlap session.

With all poor structure from yday auction, expected repair of profile till two zones swing wise 17250 then 17150-17100 zone..17250 got repaired today and we got secured high at top with neutral day auction today..Holding this selling tail zone of the day, odds are higher to get next zone 17150-17100 to be probed swing wise..

Weekly turning out into nice double distribution profile as of now..two clear balance now with large extension singles between 17125-17240...With such structure, two way auction likely to continue for the week than one way move till we hold today's tail zone at top.

For next session, failing to stay above 17340 could drop to 17270 and weak below that for 17240-17225/17180-17165/17125-17110. Quite weak below 17100 for 17070/17030/16980/16950.

Failing to sustain below 17270 and accepting 17340 could get 17370, bullish above 17370 for 17410-17420/17450 if sustains then 17490-17500/17550/17590/17650 possible.Failing to stay below 17150 and back above 17240 could move to 17280-17290/17325/17370/17410-17420.

Charts and data :

Detailed plan with references to carry forward, actionable trade hypos for next session, any importance nuance from the day and view based on weekly and monthly time frame are available to members in private blog.Above report is only part of it.

Notes :

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