DII keeps momentum going

NiftyTrader • July 7, 2022

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Index	Price	Change	% Chg
NIFTY 50	16132.90	143.10	+0.89%
NIFTY BANK	34920.30	596.05	+1.74%
BSE SENSEX	54178.46	427.49	+0.80%

Daily closing price, change and % change of benchmark indices.

DII keeps momentum going

Domestic Institutional investors DII keeps momentum going and the benchmark indices closed in the green for the second day in a row, aided by positive clues from the global indices. Although the euphoria created by FIIs yesterday was short-lived as FIIs become net sellers today, and crude oil is trading around $104 per barrel. However, there is hope that the FIIs will soon return and become net buyers!

The Nifty 50 gained 143 points or 0.89 percent to close at 16133. It reached a high of 16151 and a low of 16046 during the day. Compared to yesterday’s prices, the Nifty made a higher-high and higher-low. Furthermore, the difference between the high and low price was 105, the lowest in the previous seven days, making it an NR7 day.

The Nifty 50 is on the verge of closing the prior gap down around 16200 levels, and we may see some volatility around this level as the market attempts to take out the 16200 level and move forward.

Nifty daily data chart - DIIs keep momentum going — Nifty Daily data chart – DII keeps momentum – closing in gap down around 16200 levels.

Today, the advance-decline ratio was 2.35, and the market breadth was positive. On the other hand, the volatility index India Vix fell 5.25 percent to close at 19.20.

DAILY MARKET ACTION
Advancers – 1486
Decliners – 631
52Wk High – 28
52Wk Low – 19
High Band Hitters – 103
Low Band Hitters – 41
200d SMA – 17129
50d SMA – 16122
20d SMA – 15725

Nifty Top Gainers and Losers – DII keeps momentum going

The top gainers on the Nifty 50 were Hindalco (+6.88%), Titan (+5.78%), Tata Steel (+5.63%), JSW Steel (+3.96%), and Tata Motors (+3.70%).

Meanwhile, the top losers in the Nifty 50 were Dr. Reddy (-1.25%), Nestle India (-1.13%), Cipla (-1.12%), Bharti Airtel (-0.99%), and Hindustan Unilever (-0.90%).

Sectors & Broader Indices

Except for the FMCG sector, which was marginally down, all sectoral indices closed in the green. Today’s biggest gainers were in Metal, Consumer Durables and Realty. Likewise, the broader indices followed the benchmarks. The Nifty Midcap 50 was up 1.19 percent, while the Nifty Small cap 50 was up 1.81 percent.

SECTORS – NOTABLE ACTION
METAL +3.79%
CONSUMER DURABLES +2.64%
REALTY +2.62%
FMCG -0.08%

Looking Ahead

The Nifty has closed above 15800 level barrier, which is positive for the overall trend. Further, for the last four trading sessions, the Nifty is closing above 20-day moving average price. Similarly, the positive market breadth and falling volatility index is also positive for the over-all trend.

Though there may be volatility around the 16200 level, and 16300 level is technically an immediate resistance on the upside. On the downside, the 16000 level should serve as a firm support.

Daily Pivots

S2	S1	R1	R2
16005	16069	16174	16214

Daily Nifty Pivots

The Nifty trading range for tomorrow is 16070 to 16175

Momentum begets more momentum; and buyers bring more buyers until someone realises, they’ve gone too far and begins to sell. As of now, the bias is positive in the short term. Stay with the trend!

Read previous -Daily Insights- here
FII Buying Lifts Market
Braking to go faster?
Bulls on a roll

This article is only for educational purposes and is not an investment advice.