At 8:00am IST, the SGX Nifty Futures was trading at 15,176, compared with Nifty’s close of 15,173 yesterday.
Market status: Confirmed Uptrend
Distribution days: Six
Global stock markets: Dow 30, -0.02%; S&P 500, +0.2%; Nasdaq, +0.4%; Nikkei, -0.3%; Hang Seng, +0.5%; Kospi, +0.5%
Nifty, after a gap-up opening, traded with high volatility in the first hour of yesterday’s trading session. However, as the session progressed, it traded in the narrow range to close near the day's high holding decent gains. Volume continued to decline for the third consecutive session. In the broader market, though Midcap underperformed with a gain of 0.1%, Smallcap indices showed solid outperformance with a gain of 1.8%. Also, one distribution day expired today, taking the count to five.
On the sectoral front, mixed reaction was observed. Nifty FMCG and Nifty Metal each gained 0.8%. On the flip side, Nifty PSU Bank was down 1.3% and Nifty Auto declined 0.5%. Advance-decline ratio was skewed toward decliners. Of 2,231 stocks, 1,123 advanced, 780 declined, and the remaining were unchanged.
Last week, on Wednesday, Nifty had made a new high and moved above the previous rally high of 14,754. Hence, we changed the market status to a Confirmed Uptrend. However, the distribution day count remains elevated at six. Nifty is more than 4.3% above its 21-DMA. If the 21-DMA is breached, we may downgrade the status to an Uptrend Under Pressure. Without trying to predict and decode stories, we will take what the market gives and continue to monitor unfolding conditions.
Itc reported Q3 FY21 results. Revenue grew 6.1% y/y to Rs 14,124 crore. PAT dipped 11.4% to Rs 3,587 crore.
Ashok Leyland reported Q3 FY21 results. Revenue increased 19.9% y/y to Rs 4,813 crore. It reported a loss of Rs 19 crore as compared with a profit of Rs 27 crore in the corresponding quarter last year.
O’Neil Market Condition Report
For the 24 emerging markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 50%; Rally Attempt, 4%; Uptrend Under Pressure, 46%; Downtrend, 0%.
For the 24 developed markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 46%; Rally Attempt, 0%; Uptrend Under Pressure, 54%; Downtrend, 0%.