Daily market summary of NF and charts, data of NF & BNF -25Feb'22

NF had 5% down day with spike down close on Thu. Spike rules were in focus for next session and observation was that staying below 16600 probe further for downside. NF opened straight higher above spike zone and gone for open drive higher clearing 16600 right at IB then reached PDH zone also via one time frame up. Then, remained as higher value tight range session holding morning tail and closed at dPOC. Bullish hypos B and C fully played out.

Auction recap :

NF negated spike zone as well as selling tail of large down day acepted by value. Supply not seen.

NF left weak high at PDH with clean short covering P profile..With such P profile, best way for buyers to get follow through is drive or gap and then should stay higher all session without coming back to value of P profile. Failing to stay higher the P value and back in value means entire value area clean probe.

Volume was higher than 5% down day hence its important for buyers to get follow through higher and stay higher.

Highly mechanical saving of tail zone with higher value closing at dPOC..Close had edge with buyers but long side is risky with such mechanical support auction seen till close.Odds for revisit of today's tail zone higher in coming sessions.

Swing view of bearishness is now gone with 16600 acceptance..But, based on old structure from where we extended down + this mechanical holding and push in last session, am looking this move as only bounce/inventory adjustment.So, expecting some balance to take place then resume downside again than one way higher move from here..

Another context to look for balance is, back to back large imbalance auction calls for extended period of balance. We had 5% down day imbalance and again imbalance higher to reach PDH now, so back to back imbalance hence context wise probable outcome could be balance. However, will wait for a session to decide further on swing view.Will change this view if we get one time frame up on daily profiles without overlap..So, need to wait for a session or two..Bias is looking for retest of 16600/16450 zone minimum again before any one way sustained move higher above 16850 to travel inside large composite.

For next session hypos, kindly refer the plan below.

Charts :

Daily

Weekly

Monthly :

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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