Is there any clear trend?

Nifty Trader • June 1, 2022

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Index	Price	Change	% Chg
NIFTY 50	16522.75	-61.80	-0.37%
NIFTY BANK	35620.80	133.40	0.38%
BSE SENSEX	55381.17	-185.24	-0.33%

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

Is there any clear trend?

Is there any clear trend in the current market action? The topsy-turvy ride and high volatility continued, and bulls were indecisive and stayed on the fence. The market moved between the up and down zones and remained choppy throughout the day.

It appears as if, after solid gains of 1.89 per cent on Monday, the Nifty is grinding lower. As per GDP data released yesterday, the economy grew slowest in Q4 at 4.1 per cent. The GDP numbers are in line with the expectations and already priced in.

The Nifty 50 was down 62 points or 0.37 per cent before closing at 16523. Further, it recorded an intraday high of 16649 and a low of 16439. The Nifty made a lower high and a lower low and stayed above the 20day simple moving average.

Yesterday’s candlestick pattern suggests bearishness ahead.

The market breadth was positive, and the advance-decline ratio was 1.10. Further, the volatility index was higher by 1.79 per cent and closed at 20.85. Similar to yesterday, the FIIs were net sellers today.

NIFTY – DAILY MARKET ACTION
Advancers – 1111
Decliners – 1008
52Wk High – 28
52Wk Low – 21
High Band Hitters – 117
Low Band Hitters – 66
200d SMA – 17266
50d SMA – 16895
20d SMA – 16223

Top Gainers and Losers

JSW Steel, Coal India, HDFC Life, Kotak Bank, and Mahindra & Mahindra were the top gainers on the Nifty 50, gaining between 1 per cent and 3.5 per cent.

TOP GAINERS
JSWSTEEL +3.56%
COALINDIA +2.02%
HDFCLIFE +1.51%
KOTAKBANK +1.31%
M&M +1.22%

Meanwhile Bajaj Auto, Apollo Hospital, Hindalco, Tech Mahindra, and Bajaj Finserv were the top losers on the Nifty 50, losing between 2.7 per cent and 3.7 per cent.
View the list of all the Nifty 50 contributors.

TOP LOSERS
BAJAJ-AUTO -3.65%
APOLLOHOSP -3.25%
HINDALCO -2.88%
TECHM –2.76%
BAJAJFINSV -2.70%

Sectors & Broader Indices

On the sectoral front, it was a mixed show today. Financial services, Banks, metal, and consumer durables were the gainers. Meanwhile, IT, FMCG, Reality, Pharma, and health care were the top losers.
The broader indices were also mixed today. Nifty Midcap 50 was up 0.18 per cent, and Small-cap 50 was down 0.23 per cent.

Nifty Sectors – Notable Action
PSU Bank +0.70%
Private Bank +0.32%
Consumer Durables +0.19%
Healthcare Index -1.51%
IT -1.41%
Pharma -1.27%

Looking Ahead – Nifty Bulls

The markets are forward-looking, and in the future, the risks of missing fiscal deficit target, high inflation and downgrade to GDP growth estimates are causing nervousness. The gainers and losers are changing, it is down to stock-specific action.

Daily Pivots

Read our previous -Daily Insights- here
Bulls Indecisive
Bulls Repose Faith
Are Nifty bulls out of the bullpen?

S2	S1	R1	R2
16327	16425	16635	16747

Daily Nifty Pivots

The candlestick pattern of yesterday’s market action showed nervousness and bearishness ahead. 16400 to 16650 is the Nifty trading range for tomorrow.

The current consolidation or range-bound movement may continue further till there is clarity on the ongoing economic and geopolitical concerns.

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