NF printed a short covering; P-shaped profile.
Reference zones from today’s profile -
• Large Buying Tail = 22082- 22141
• Value = 22170(VAL) - 22190(POC) - 22200(VAH)
• Wide Point of Control = 22190
• 4 Day Composite Value = 22070(VAL) - 22100(POC) - 22180(VAH)
NF began with an open test drive-up as buyers responded from the previous session’s wide Point of Control (POC) zone. Despite that, buyers were unable to achieve a meaningful extension higher above the Initial Balance High (IBH), resulting in the day ending with a short covering profile. This is the second session within March 22-Friday’s day range. Back-to-back balanced profiles with wide POC printed on both days; high odds for an imbalance move next.
Today’s session has a higher value, but volumes were below average. Context-wise, advantage continues with buyers. Buyers marked a large buying tail and a wide POC at the 22190 zone. This wide POC is now a solid reference for buyers to hold and look for sustained range extension above 22210 PDH for a probe towards 22280–310 / 22380–410. As mentioned in the weekly report, the 22380–410 zone represents higher time frame resistance and is likely to prompt a rotation down.
If it trades above 22210, buyers should aim to prevent it from scaling below the 22190–22170 zone. Failure to do so may result in a retracement back in the developing 4-day composite value area and a probe towards 22110 / 22040–20. This 22040–22020 zone represents the buying tail from the bullish outside day on March 22, which should offer a bounce. Any rotation below 22020 is quite weak and might go for a test at monthly demand zone 21910–880.
