In this post, I will talk about the analysis for the day and the trading range for tomorrow. The video discusses with the help of the charts how the indices as well as leading stocks performed during the day and their likely play tomorrow.
O 18097.85
H 18197.80
L 18050.75
C 18161.75
EOD - +169.80 points /+0.94%
SGX Nifty at 1905h = +44 points
FII DII = +506 Crores
CHART BASED CONCLUSIONS using 5 Minutes Chart
Nifty opened with a strong gap up of more than 100 points and then kept crawling up throughout the day. It made a higher high and a higher low. Nifty ended the day comfortably above 18150. Nifty low for the day was at 18050 and that is a great statistic to have - all OHLC above 18000.
NIFTY WEIGHT LIFTERS & DRAGGERS
Top 5 Lifters contributed = 103
Top 5 Draggers contributed = 17
Net = +86
POSITIVES
Nifty OHLC was above 18000.
Tata Motors (NS:TAMO) was the key driver for Nifty as it single-handedly contributed 50 points to Nifty.
Reliance (NS:RELI) soared yet again though it ended below 2700.
Bank Nifty OHLC was also well above 38000.
NEGATIVES
TCS (NS:TCS) continued to be under pressure.
Nifty Bank ended in green but that was mainly on account of HDFC Bank (NS:HDBK) and Kotak Mahindra Bank Ltd. (NS:KTKM). The rest of the lot looks vulnerable at higher levels.
TRADING RANGE FOR 14-10-21
Nifty = 17900-18000 as the support band and I am not sure about the resistances other than the ATH level.
Bank Nifty = 38000-38200 as the support band and I am not sure about the resistances other than the ATH level.
INSIGHTS / OBSERVATIONS
I do not recall ever seeing Tata Motors rise the way it did today. This was very pleasing to the eyes.
And it was interesting and surprising to see that Maruti (NS:MRTI) was the top loser when its elder sibling Tata Motors making the sector roar.
The ever sleepy M&M (NS:MAHM) & ITC (NS:ITC) also roared today.
On one side Avenue Supermarts Ltd (NS:AVEU) ended the day above 5000 and with a 7%+ rise selling FMCG items and the FMCG giant Hindustan Unilever (NS:HLL) fell more than 1%!
Is distribution replacing manufacturing?
What do you feel about this?
Here is the video link --
https://youtu.be/TpmY_JDbgwM
NOTE --
This write-up is not a prediction mechanism for the movement of Indices in the Indian markets as the markets are unpredictable in nature. I may refer to many data points in the article but I do not base my view on any of these standalone. In fact, I prefer to react to the price moves than predict the price moves. I also do not review Open Interest. Whatever data points I am using, are all stated in the article. The article title, as well as its contents, can at best be stated as --- This Is How I Read Nifty. I hope I have been able to set the expectations right.