Nifty, +0.1%; Sensex, +0.2%; Nifty Midcap, -0.4%; Nifty Smallcap, -0.8%; Model Portfolio, -0.6%
Market Pulse: Confirmed Uptrend
Distribution Day Count: Three
Today, Nifty opened flat, traded in a narrow range, and made a new all-time high. It closed in the top half of the day’s range. Volume was comparatively low. The broader market underperformed today. Midcap and Smallcap declined 0.4% and 0.8% , respectively. On the sectoral front, there was mixed action. Nifty Metal (+1.5%) was the top gainer, followed by Nifty Financial (+0.4%) and FMCG (+0.3%). On the flip side, Nifty Bank, Auto, IT, Pharma, and Realty closed 0.2–0.8% lower. The advance-decline ratio favored decliners. Of 2,023 stocks traded, 631 stocks advanced, 1,326 stocks declined, and the remaining closed flat.
Currently, the distribution day count stands at three. Nifty is trading near its all-time high. If the index adds a couple of distribution days, stages a reversal, or breaches its key moving averages, we may change the market status to an Uptrend Under Pressure. Reducing exposure to stocks breaking below their 21- or 50-DMA on higher volume is important. As there is weakness in the broader market, we recommend being selective when investing in new stock.