At 8:00am IST, the SGX Nifty Futures was trading at 11,524, compared with Nifty’s close of 11,604 yesterday.
Market status: Uptrend Under Pressure
Distribution Day Count: Seven
Global stock markets: Dow 30, +0.1%; S&P, -0.5%; Nasdaq, -1.3%; Nikkei, -0.6%; Hang Seng, -1.2%; KOSPI, -0.8%
Nifty opened flat yesterday and remained volatile in the first half of the trading session. However, in the second half, the index showed positive momentum, forming higher highs and higher lows in the hourly chart and closed above 11,600, holding decent gains. Volume was slightly higher compared with the previous session. The broader market took a breather. Nifty Midcap was up 0.3%, while Smallcap closed flat.
On the sectoral front, Nifty Realty (+2.3%) outperformed, followed by Nifty Pharma (+2.1%) and Auto (+1.5%). Nifty PSU Bank (-0.5%) and Media (-1.6%) were the only two sectoral indices that closed in the red. The advance-decline ratio was skewed toward advancers. Of the 2,196 stocks traded, 957 advanced, 838 declined, and the rest remained unchanged.
As the market condition is in an Uptrend Under Pressure, investors should proceed with caution. Unless a stock shows exceptional fundamental and technical strength, no new addition to the portfolio is advised. Investors should consider booking profits in stocks that have performed well and advanced 20–25% from their ideal buy points. Looking forward, we will change the status to a Downtrend, if more distribution days are added or if Nifty breaches its 50-DMA and 200-DMA. On the flip side, the status will be back to a Confirmed Uptrend if Nifty retakes the 11,795 level (high during the recent rally).
Hcl Technologies (Nse) has expanded its partnership with Google Cloud to deliver an accelerated business intelligence platform.
Gmr Infrastructure’s promoter GMR Enterprises has created a pledge on 3.75 crore equity shares of the company.
Tata Projects won the contract to build the new Parliament building for Rs 861.9 crore.
Upcoming IPOs: CAMS IPO is planning to raise about Rs 1,500 crore, while Chemcon Specialty Chemicals is planning to raise Rs 318 crore. Both the IPOs are open for subscription from September 21 to September 23.
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, 34%; Rally Attempt, 4%; Uptrend Under Pressure, 54%; Downtrend, 8%.
For the 24 developed markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 34%; Rally Attempt, 8%; Uptrend Under Pressure, 58%; Downtrend, 0%.