Nifty, +0.6%; Sensex, +0.5%; Nifty Midcap, +1.5%; Nifty Smallcap, +1.7%; Model Portfolio, +0.6%Market Pulse Uptrend Under Pressure Distribution Day Count: 5
Nifty opened on a flat note and traded in both positive and negative territories. In the second half, some buying helped the index to close near the day’s high. Volume of shares traded dried up for the two consecutive days. Around 74% of Nifty50 stocks closed in the green, led by Zee Entertainment Ents. (+8.1%) and Mahindra & Mahindra (+5.8%). On the flip side, Bajaj Auto (-2.6%) and Hero Motocorp (-1.7%) were the major decliners.
Broader market indices outperformed the major index. Barring Nifty PSU Bank (-0.4%) and Fin Service (-0.03%) all the sectoral indices closed in the green. Nifty Media (+3.4%) and Metal (+1.8%) advanced the most.
The market remains in an Uptrend Under Pressure. We will be slightly cautious while initiating fresh long positions. We will change the status to a Downtrend, if two-three more distribution days are added or if Nifty breaches its 50- and 200-DMA. On the flip side, the status will be shifted back to a Confirmed Uptrend if Nifty retakes 11,795 level (high during the recent rally).