At 8:00am IST, the SGX Nifty Futures was trading at 14,533, compared with Nifty’s Friday close of 14,372.
Market status: Confirmed Uptrend
Distribution days: Five
Global stock markets: Dow 30, -0.6%; S&P 500, -0.3%; Nasdaq, +0.1%; Nikkei, +0.4%; Hang Seng, +1.5%; Kospi, +1.7%
Last week, Nifty remained volatile during the week. It started the week on a negative note but rebounded sharply on Tuesday and Wednesday and hit a fresh all-time high. However, it staged a downside reversal in the last two trading sessions of the week and added two distribution days, taking the count to five. Among sectoral indices, only Nifty Auto (+3.3%) and IT (+0.5%) closed in the green during the week. On the flip side, Nifty Metal (-6.3%) was the top loser. Nifty Bank, Pharma, and Realty closed 3.0–3.5% lower.
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.
Ultratech Cement posted Q3 FY21 earnings. PAT was up more than twice to Rs 1,584 crore, while revenue rose 17.4% y/y to Rs 12,254.1 crore.
Birla Corporation (Nse) posted Q3 FY21 earnings. Revenue was up 3.6% y/y to Rs 1,776.6 crore, while PAT stood at Rs 148.2 crore as against Rs 81.5 crore for the same 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, 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%.