Today’s Action:
Major composites extend winning streak to nine sessions.
Daily Market Review:
Benchmark indices continued their winning run, accumulating gains for the ninth session in a row.
Both the Nifty and the Sensex remained range-bound today, before ending higher by 0.2% and 0.3%, respectively.
A feather in the market’s cap is that frontline indices have not seen a negative session let alone a distribution day since the April 5 follow-through day.
That’s a good sign, but it is still a low volume driven market. Subdued volumes can be attributed to institutional investors who might have chosen to stay on the sidelines in the ongoing earnings season.
In the broader market, the Nifty Midcap and Smallcap indices advanced 0.1% and 0.4%, respectively.
On the sectoral front, Nifty Realty (+1.2%) and FMCG (+1%) came on top, while Nifty PSU Bank (-0.6%), Media (-0.6%) and Pharma (-0.4%) witnessed selling pressure.
Market breadth turned in favour of gainers today. Of the 1,632 stocks traded on the NSE, 828 advanced, 733 declined, and 71 remained unchanged.
Our proprietary list of leading stocks, the MarketSmith India IND 47 index gained 0.2% in today’s session.
The Indian rupee hit a seven-month low against the U.S. dollar today. The domestic currency has come under pressure in recent times due to a widening trade deficit and geopolitical tensions.
Coming to market direction, the outlook remains unchanged at Confirmed Uptrend. With nine straight sessions of gains, frontline indices are trading comfortably above their crucial support of 50-DMA. The action in leading stocks remains encouraging as we continue to see leading stocks breaking out to new highs and most of them setting up well in their base patterns.
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.
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