That's Market Profile Chart for Nifty Future. What we can see on the chart ,
1) Double Distribution day, Point of Control is falling down from last 4 days.
2) There is Poor High from 29/1 which is not repaired yet.
Poor High / Low ( Unsecured or Incomplete ) means is Exhaustion. Logic behind it is, there should be swift move in forming excess or end of auction. But as you see here price rotating near High /Low means
there is absence of strong buyers/sellers . These Poor High/Lows get repaired.
3) Minus development, that is Single Prints Inside VA, which is important information. Here its 6062.
so 6062 is important Ref point , which also matches with Algo bar ref point.
## Other Observation is , One day NF has Balanced , Small range day , next day it tries to go out of balance.
Like it did on 28 Jan ( Balance ) , Next day Imbalance of that zone.( 29 Jan)
Also 30/31 Jan Balance Small range day , tried to move out of Balance on 1 Feb. 2013.
Now if you Observe this balance to imbalance, twice it tried to Imbalance on Upside but failed to attract Buyers And Closed on opposite side , i.e. lower end. ( 29 Jan and 1 Feb )
This makes me think that market is weak, but this is also in small bracket on daily Structure , which is approx 80-100 points.
Plan for Monday :
Observe whether it Opens back into Value area , if there is no strong commitment from Buyers side.
I will be try shorts Below 6062 level, for 6005-6010 level.
And if there is strong open on buyers side , crossing 6060-65 One can expect Poor High getting repaired.
Will Update if there is any strong Open conviction on Monday.
P.S. Double Distribution day is generally followed by Normal or Non Trend day.
In Normal day there is Wide Initial Balance.
