Bulls Repose Faith
Today, the bulls continued the momentum of the earlier week. Nifty bulls repose faith and took the benchmark indices higher. As noted in our weekly blog, the stage and ingredients were all there for a quick rally. Read here.
Likewise, going by the rule of 16, there was a probability of movement of 1.6 per cent or more in any direction. Read more here.
The benchmark indices followed the global clues. The market opened with a gap of 175 points and stayed green throughout the day. Open and stayed above 16400, which was short of immediate resistance until now.
The Nifty 50 was up 308.95 points or 1.89 per cent before closing at 16661.40. Further, it recorded an intraday high of 16695.50 and a low of 16506.15. Nifty opened with a gap up, made higher-high and a higher-low and closed near the day’s high price.
The market breadth was positive, and the advance-decline ratio was a healthy 2.87. Further, the volatility index softened 6.98 per cent to close at 19.98. Likewise, after waiting for an extended period, the FII were also net buyers today.
NIFTY – DAILY MARKET ACTION
Advancers – 1606
Decliners – 559
52Wk High – 20
52Wk Low – 31
High Band Hitters – 186
Low Band Hitters – 66
200d SMA – 17264
50d SMA – 16918
20d SMA – 16255
Bulls in Action – Top Gainers and Losers
Mahindra & Mahindra, Titan, Infosys, Adani Ports, and L&T were the top gainers on the Nifty 50.
Kotak Bank, JSW Steel, Sun Pharma, Dr Reddy’s and ITC were the top losers.
View the list of all the Nifty 50 contributors.
Nifty Bulls in Sectors & Broader Indices
All sectoral indices closed in the green, mainly because of solid gains, in reality, IT, consumer durables, and media. Further, auto and metals were also up 1.96 and 1.01 per cent, respectively.
The broader indices outperformed the benchmarks. Nifty Midcap 50 was up 2.15 per cent, and Small-cap 50 was up 2.99 per cent.
Nifty Sectors – Notable Action
Consumer Durables +4.22%
Looking Ahead – Nifty Bulls
On the economic front, there was no headline news. However, interestingly enough, as reported in newspapers, Russia is considering the use of cryptocurrency for international payments. One conflict is ongoing, and another dispute has brewed!
16550 to 16750 is the Nifty trading range for tomorrow. Because of positive action and indicators of today, the bias is on the buy-side going into tomorrow.
Hopefully, the sell-on-rally (buy-on-dip) is not back tomorrow, as otherwise, the bull action would go futile.
This article is only for educational purposes and is not an investment advice.