The week has begun on strong note with key indices closing in the green for the ninth consecutive session. After a gap up opening, Nifty scaled above the yearly high of 5630 (Feb 2012) in the opening hour, but profit taking resulted in the index lose the opening gains and the gap got filled as well. The second half once again saw Nifty pile up some lost gains, thus resulting in a positive close. Volumes were significantly higher and the breadth was in favour of advances suggesting an overall good day for the markets. India VIX has seen a sharp rise of 15%, closing at 17.78 resulted by bears scampering to cover their shorts. Momentum is indeed in an overbought state which poses a risk of bouts of profit taking, however the uptrend establishes remains intact. Thus this becomes a buy on declines market. Key levels to watch out for are 5585 and 5545 on the downside as immediate supports and 5725 / 5750 as resistances on the upside. Expect some profit booking / consolidation in the immediate near-term before a resumption of the advance.
High beta stocks powered their way up in today's session led strong gains in Realty (+6.2%), Cap Goods (+3.75%) and Banking (+3.25%) indexes. On the losing side were shares from FMCG (-3.6%), IT (-3.2%) and Healthcare (-1.8%) sectors. After Friday's underperformance, the broader markets bounced back, this time outperforming the frontline index with gains of 1.1% for the Mid-cap index and 1.13% for the Small-cap index.
Bullish Setups: RIL, COAL, TTMT, SAIL, CNXBANK
No comments:
Post a Comment