market profile analysis dated 23rd jan

market profile NF opened around yVAL and probed above the yPOC of 10935 and the yVAH of 10941 and looked like driving higher but the auction got stalled at the FA level of 10958 indicating that there is still supply coming in at this level. The auction then turned lower and made a lethargic move on very low volumes to first go below VWAP and then broke below the yVAH to initiate the 80% Rule in the bell profile of yesterday. NF almost completed the 80% move but like in the morning, the move down also got stalled at the weekly POC & yVWAP of 10923 reversing the auction. NF then probed higher & after making a small balance at VWAP made a move to the upside tagging the IBH making a new high of 10962 but was not able to sustain above IBH and was pushed back into the IB leaving a probable FA at highs to match the earlier FA of 10958. NF then repeated the slow move down balancing at VWAP for a while after which it gave a fast move down to get below earlier lows of 10925 and went on to break the IBL also completing the 80% Ruleto the ‘T’ making a low of 10916 which was the yVAL.

The break of IBL meant that the FA at 10962 was confirmed and unless NF captured VWAP soon the PLR was well & truly down.  market profile

Maharastra
Mumbai
India