Rajandran R Telecom Engineer turned Full-time Derivative Trader. Mostly Trading Nifty, Banknifty, USDINR and High Liquid Stock Derivatives. Trading the Markets Since 2006 onwards. Using Market Profile and Orderflow for more than a decade. Designed and published 100+ open source trading systems on various trading tools. Strongly believe that market understanding and robust trading frameworks are the key to the trading success. Writing about Markets, Trading System Design, Market Sentiment, Trading Softwares & Trading Nuances since 2007 onwards. Author of Marketcalls.in)

Nifty Short-Term Trend Turning Negative – Market Profile Update

1 min read


The short-term trend for Nifty appears to be shifting towards the negative, encountering intermediate resistance in the range of 21920-21950. Additionally, a top-down analysis reveals divergent signals: the short-term trend is declining, the medium-term trend remains sideways, and the long-term trend is upward. These differing trends across the three timeframes indicate a lack of conviction on the immediate upside.

Market Profile charts on RBI Policy announcement day bring an emotionless wave type selling on every rise with a clean elongated structure with no visual nuances or visual references. Higher timeframe sellers are actively pushing the price down and more underperformance is seen in private-sector banks

RBI’s Stance on Regulatory-Focused Approach Impacting Private Sector Banks

Yesterday’s RBI press conference highlighted the central bank’s cautious and regulation-focused approach towards managing the banking sector, emphasizing financial stability and inflation control over short-term liquidity boosts or growth stimulants. This stance has significant implications for private banks, potentially influencing their stock performance in the short term adding more pressure to the banking stock on the downside.

The RBI’s strong corrective actions, including the potential suspension of operations for non-compliance, were justified as necessary for maintaining a stable financial system. The RBI believes that a robust regulatory framework and adherence to it are crucial for the health of the banking sector and the broader economy.

Nifty Daily Sentiment and India VIX

Yesterday Daily Trading Sentiment turned negative indicating that immediate upside odds are very limited. The India VIX index is still not in the mood to collapse after the RBI event which is surprising.

Downward Focus is overall shifting negative for Nifty Futures which lowers the downside targets for the Feb 2024 series to 21600 and 21450 in the short term.

Rajandran R Telecom Engineer turned Full-time Derivative Trader. Mostly Trading Nifty, Banknifty, USDINR and High Liquid Stock Derivatives. Trading the Markets Since 2006 onwards. Using Market Profile and Orderflow for more than a decade. Designed and published 100+ open source trading systems on various trading tools. Strongly believe that market understanding and robust trading frameworks are the key to the trading success. Writing about Markets, Trading System Design, Market Sentiment, Trading Softwares & Trading Nuances since 2007 onwards. Author of Marketcalls.in)

What is Market Tempo – Market Profile Tutorial

Market tempo, a nuanced yet pivotal concept in trading, is the rhythm at which market prices fluctuate over a given timeframe, influenced significantly by...
Rajandran R
1 min read

The Essential Guide to Top-Down Analysis in Trading –…

Navigating the markets can feel like trying to find your way through a maze. But what if I told you there's a map that...
Rajandran R
2 min read

Short Term Correction in E-Mini Futures – US Market…

E-Mini on the Monday session ended with an uncleared poor high followed by inventory adjustment. The major short-term inventory adjustment happened after the US...
Rajandran R
44 sec read

Leave a Reply

Get Notifications, Alerts on Market Updates, Trading Tools, Automation & More