Daily Big Picture – Bulls in Complete Control; Key Indices Extend Winning Streak

Daily Big Picture

Today’s Action:

Frontline indices extend their bull run to hit all-time highs; broader market gains for the seventh straight session.

Daily Market Review:

Bulls continued to outsmart the bears, as the Indian market extended its record closing spree on the back of strong earnings. Both the Nifty and the Sensex hit all-time highs today and gained 0.4% each.

Buying was not limited to large caps as the Nifty Midcap and Smallcap indices ended with gains of 0.1% and 0.5%, respectively. This was the seventh straight up session for the broader market.

The market breadth tilted in favor of gainers in today’s session. Out of the 2,077 stocks traded on the NSE, 1,129 advanced, 626 declined, and 332 stocks remained unchanged.

On the sectoral front, all the indices, barring Nifty IT (-0.7%), closed in positive territory.  Among the gainers, the Nifty PSU Bank (+4.3%), Energy (+1.5%) and Pharma (+0.9%) were the top performers.

MarketSmith India’s IND 47 index, our proprietary list of top 47 stocks in chart and fundamental characteristics, outperformed the key indices as it inched higher by 0.6%.

Talking about the overall market direction, the distribution day count stands at one on both the Nifty and the Sensex. With the Nifty and the Sensex touching new highs today, the market direction remains unchanged at a Confirmed Uptrend.

During the week, all eyes will be on RBI’s monetary policy, which will be unveiled on August 1, 2018 at 14:30 IST. On June 6, 2018, RBI raised its benchmark policy repo rate by 0.25% to 6.25% for the first time in four and half years.

Current Outlook:

– Market environment conducive for purchases, but remain selective.

– Focus on fundamentally strong stocks breaking out of strong technical patterns.

– Stay disciplined and exercise sound buy and sell rules.

To Read Detailed Reports including Stock Recommendations, Idea Lists, Evaluate Stocks etc. Subscribe to  MarketSmith India.

Leave a Reply

Your email address will not be published. Required fields are marked *