NEW DELHI: The last week was very fruitful for investors as there was all-round buying in the market. Bulls would wish to continue the trend. Meanwhile, some risks are also emerging for the market, which traders need to be cautious of
Here's how analysts read the market pulse:
"A long bull candle was formed on the daily chart, with a gap-up opening, for the second consecutive session. The opening upside gaps of the last two sessions remain unfilled. Technically, this is a sharp trended up move in Nifty50 and one may, possibly expect another opening gap up this week," Shetty, Technical Research Analyst at HDFC Securities
The index closed Thursday at 17,287.05, up 311.70 points or 1.84per cent. Chandon Tap aria, Oswald Securities said has given the highest daily close of the last 20 trading sessions and is now trading above its 50-EMA
That said, here’s a look at what some key indicators are suggesting for Monday’s action:
US shares close higher:
Wall Street's three major indexes closed higher on Friday, with the biggest boost from recently battered technology stocks, after talks between Joe Biden and Chinese President Xi Jinping over the Ukraine crisis ended without big surprises
European stocks post the best week since Nov 2020
European shares rose on Friday, adding to the strong gains earlier this week, as investors focussed on Russia-Ukraine peace negotiations and digested the talks between US President Joe Biden and Chinese counterpart Xi Jinping. The pan-European STOCK 600 index closed 0.9% higher with technology stocks, leading the gains
Tech View: Bullish candle
Nifty50 on Thursday jumped for the second straight day and, in the process, breached its 200-day and 50-day moving averages, suggesting the bulls are in a driving seat. The index formed bullish candle on both daily and weekly scale and analysts believe the index may set eyes on 17,500-900 levels in coming days
F&O: Support at 17,200
There have been frantic activity on both sides of the option chain with accumulation of contracts. The data shows Nifty has an immediate support at 17,200 and resistance at 17,500 now
Stocks showing bullish bias:
Momentum indicator Moving Average Convergence Divergence showed bullish trade setup on the counters of Brigade Enterprises, EH, Motile, Macro tech Developers, Whirlpool India and Kotak Mahindra Bank
The MACED is known for signaling trend reversals in traded securities or indices. When the MACED crosses above the signal line, it gives a bullish signal, indicating that the price of the security may see an upward movement and vice versa
Stocks signalling weakness ahead:
The MACED showed bearish signs on the counters of Inbox Leisure, Finance, Emphasis, Abbott India, GAIL and CESC. Bearish crossover on the MACED on these counters indicated that they have just begun their downward journey
Most active stocks in value terms:
Infosys (Rs 3315 crore), Reliance Industries (Rs 2428 crore), HDFC (Rs 1597 crore), Tata Steel (Rs 1378 crore), TCS (Rs 1327 crore), ICICI Bank (Rs 1321 crore) and Adan, Wilma, (Rs 1180 crore) were among the most active stocks on Dalai Street in value terms. Higher activity on a counter in value terms can help identify the counters with trading turnovers in the day
Most active stocks in volume terms:
YES Bank (Shares traded: 82 crore), Vodafone Idea (Shares traded: 10 crore), (Shares traded: 7 crore), NGC (Shares traded: 7 crore), GTL Infra (Shares traded: 6 crore) and SAIL (Shares traded: 5 crore) were among the most traded stocks in the session
Stocks showing buying interest:
Brigade Enterprises, Bharat Dynamics, Trent, GFC, Tim ken India, Titan Company and Corporation witnessed strong buying interest from market participants as they scaled their fresh 52-week highs, signaling bullish sentiment
Stocks seeing selling pressure:
Future Retail and Technology witnessed strong selling pressure and hit their 52-week lows, signaling bearish sentiment on the counters
Sentiment meter bulls:
Overall, market breadth gainers as 2,051 stocks ended in the green, while 1,362 names settled with cuts
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