At 8:15 am IST, SGX Nifty Futures was trading at 15,040, compared with Nifty’s close of 14,864 yesterday.Market Pulse: Confirmed UptrendGlobal stock markets: Dow30, -0.5%; S&P 500, -0.1%; Nasdaq, -0.3%; Kospi, +0.4% Yesterday, Nifty opened 50 points higher, gained momentum as the session progressed, and closed near the day’s high. We considered yesterday’s move as a follow-through day and upgraded market status to a Confirmed Uptrend. The logic behind it: 1) Nifty and Sensex gained 1.44% and 1.6%, respectively. 2) Volume was higher than the prior session. 3) Nifty reclaimed its 50-DMA. 4) Market breadth is improving (Nifty Midcap50 closed 1.7% higher). 5) Leading stocks are in momentum and off lows. On the sectoral front, barring Nifty Pharma (-0.3%), Metal (-0.3%), and Realty (-0.9%), all others closed in the green. Nifty Bank and Financial Service closed 3% higher each. FIIs and DIIs net buying was Rs 766 crore and Rs 436 crore, respectively. Looking ahead, without trying to predict and decode stories, we will take what the market gives and continue to monitor unfolding conditions. Stocks that are breaking out of consolidation have higher relative strength, and superior fundamentals can do well. Continue to trim or avoid ideas lagging and/or breaking down below major moving averages. Key News Key Q4 FY21 results today: HINDUNILVR, BAJAJAUTO, AUBANK, LAURUSLABS, and TITAN. TATACOMM reported Q4 FY21 PAT at Rs 299.23 crore against loss of Rs 274.99 crore in Q4 FY20. Revenue fell 7.5% y/y to Rs 4,073.25 crore. KPITTECH’s Q4 FY21 PAT grew 9.5% y/y to Rs 47.04 crore. Revenue rose to Rs 540.3 crore from Rs 517.2 crore q/q. 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, 30%; Rally Attempt, 12%; Uptrend Under Pressure, 52%; Downtrend, 6%. For the 24 developed markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 65%; Rally Attempt, 10%; Uptrend Under Pressure, 25%; Downtrend,0%.
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