Weekly Market Profile Analysis of Nifty April Futures: 1 Apr-5 Apr’24
Reference zones to carry forward —
• 6 Day Composite Profile Value = 22505(VAL) — 22580(POC) — 22615(VAH)
• 6 Day Composite Buying Tail = 22340–22445
Nifty futures (NF) went for an inside day, with a narrow range auction on Friday following back-to-back outside days on 3rd and 4th April. NF has been printing overlapping profiles since March 28th. It is now a six-day composite short-covering; P-shape profile from March 28th to April 5th. The buying tail and value area from this composite profile serve as references for the next week.
Next week, the 22580 Composite Point of Control (POC) serves as the immediate support zone for buyers. Buyers should aim to hold this zone + scale above 22630 to probe towards ATH / 22740 / 22825. If the price sustains above 22820, it would further bolster the bullish sentiment, potentially leading to a probe towards 22910 / 23010–030 / 23160.
Any failure from buyers to sustain above 22630 is likely to result in a retracement back into the composite value area, potentially towards VAL zone at 22510. It is weak below 22510 and might go for test the demand zone at the buying tail around 22420–390. This buying tail zone is a crucial area for buyers and might offer a bounce. Below 22390, sellers can take control of the auction and drive prices towards 22260 / 22210–190. It is quite weak below 22190, likely to test 22110, which was the previous composite POC zone.
As long as the 21990–22040 zone holds, the monthly remains in bullish mode. Any daily value below this zone would mark bearishness on the monthly time frame.
