At 8:00am IST, the SGX Nifty Futures was trading at 14,434, compared with Nifty’s Friday close of 14,434.
Market status: Confirmed Uptrend
Distribution days: Three
Global stock markets: Dow 30, -0.6%; S&P 500, -0.7%; Nasdaq, -0.9%; Nikkei, -0.8%; Hang Seng, +0.5%; Kospi, -0.7%
On Friday, Nifty opened on a flat note and quickly turned negative. It was a highly volatile session as it fell more than 200 points intraday, paring most of the weekly gains. Nifty added a distribution day as it fell more than 0.2% on volume higher than that of yesterday’s session. However, the distribution day count remains at three as one day expired today. Broader market indices, Midcap (-1.1%) and Smallcap (-1.1%), closed lower on Friday.
With leadership broadening and indices above relevant intermediate term moving averages, we will continue to look for leadership-quality growth names to form entry points. If a pullback/consolidation happens, it will be crucial for Nifty to hold its 21-DMA. It is advised to closely review the existing positions and book profits in stocks that are extended from their moving averages and showing technical weakness. Also, tracking distribution days is crucial as rise in distribution days can halt the uptrend.
Wipro (Nse) made a partnership deal with Fiat Chrysler Automobiles to establish the first Global Digital Hub in India.
Hdfc Bank posted Q3 FY21 earnings. Consolidated PAT was up 18.1% y/y to Rs 8,758.3 crore, while NII rose 15% y/y to Rs 16,318 crore.
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, 84%; Rally Attempt, 4%; Uptrend Under Pressure, 12%; Downtrend, 0%.
For the 24 developed markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 66%; Rally Attempt, 0%; Uptrend Under Pressure, 34%; Downtrend, 0%.