Nifty Scales Fresh High; Jubilant Food Q4 Results Miss Estimates

Today’s Action
 

Nifty, +0.4%; Sensex, +0.4%; Nifty Midcap, +0.6%; Nifty Smallcap, +0.5%; Model Portfolio, +2.3%.

Market Pulse: Confirmed Uptrend

Distribution Day Count: Two

After a gap-up opening, Nifty traded sideways in a narrow range throughout the session. It made a new all-time high of 15,901.6. Volume was on the lower side. On the sectoral front, barring Nifty Metal (-0.1%) and Pharma (-0.9%), all other major indices closed higher. Nifty Bank, FMCG, IT, FMCG, and Realty closed 0.2–1.0% higher. Asian Paints, Axis Bank, and HDFC Life were the top Nifty50 gainers. Nifty is trading 2.5% and 5.7% above its 21- and "50-DMA". The advance-decline ratio was in favor of advancers, as out of 2,263 stocks traded, 1,141 stocks advanced, 794 stocks declined, and the remaining closed flat.
 

Nifty trading at its all-time high, low distribution day count, and broader market outperformance are positive signs and indicate further upside. One distribution day is set to expire tomorrow. However, if the index falls, adds a distribution day, and breaches its key moving averages, we may change the market status to an Uptend Under Pressure. Focus on quality ideas emerging out of sound bases with RS line at or near new highs while reducing exposure to stocks breaking below key support levels.

Key News