Your thoughts are the film, your mind is the projector, and the sheet is the world. You will never find peace by blaming external people and events for your misery, or by giving them credit for your salvation. You are doing it all to and for yourself.

Global Markets

YTD Performance

Nikkei leads the global markets followed by US100 and STOXX. Indian market remains at #6 spot with its continued correction.

Still no respite for HK/Chinese stocks. May the Chinese New Year bring a change they have been waiting for since 2020.

Market Caps

YTD Performance

Large-caps now seem to be marching up to get into momentum seen so far in Micro and Smallcaps.

Profit booking in the multibagger PSE stocks for now. Buying the dip??

Nifty

Daily chart

Nifty formed an inside candle on the weekly chart showing price contraction and is now trading in a range between 21570-22000. A break on the either side will give the direction to Nifty. Consolidation for now.

On the Daily chart, hammer made today and bounce quite before the 50dma shows bulls are still in control despite profit booking majorly in PSE stocks. The Small and Microcaps declined as well while Largecaps try to hold Nifty back. 

Support : 21500

Resistance : 22000

Banknifty

Daily chart

Last week Banknifty was “The best index to short if you are looking for one” and it did drop till the 200dma.

Friday was an ‘expectation breaker’ on heavy volumes as the follow through from a 900+ point decline on 8.2.24 never came through.

General rule for an expectation breaker specially with a support of a Key Moving Average (200dma) would be to double down on the longs. However, we live below the 50dma in Stage 3 so going slow would be prudent.

Aggressive longs only once we close above 47150 and till then play small and play cautious as we may see price oscillate between 45000 and 47000 for sometime.

Support : 45000

Resistance : 47000

Nifty Indices

YTD Performance

PSE sector may have seen profit book but PSUBanks are still leading the race with small banks making headway for cash investors.

IT and Metals have yet to show progress but 2 sectors at the bottom are showing signs of revival : Pvtbanks and Financial sector. Watching these closely.

Sector Strength

YTD RSI

Leading stocks

Leaders of every sector

Keeping a watch on where the leadership is in the sector helps to get the True Market Leader / Model Book Stock.

Stocks to watch

Stocks with strong Weekly close

• Olectra
• IOB
• Jiofin
• Glaxo
• Kpittech
• Acc

Your Job is to find the next Apple and handle it well.

– William O Neil