The weekend is when we open all our chartbooks and go through every chart in order to update or follow trends and sentiments as they build over the week. But sometimes, a few names pop up even before we hit the weekend research start button.
Today we will discuss two such names that seem to be displaying resilience in the market over the past couple of weeks.
We published a post talking about how Chemicals were outperforming in the current market scenario. Another such group of stocks that have been performing well, is Cements. We published a post dedicated to Cement in December 2020, but it seems like the move has only started! More names are getting added to the 'strong' column so we thought we could revisit this sector again.
Are there any other stocks that have undergone any structural changes? Let's find out.
ACC has been an underperformer in this sector for quite some time now where we've cautiously put this name on the 'watch list'. It seems like the wait might just be over!
The price has finally broken out above the all-time high near 1,870 and looks ready for another leg of the rally. This is a four-year base breakout as the indicator continues to hovers around bullish momentum territory.
We are bullish above the risk management level of 1,870 with a target near 2,470.
The Outperformers is our newest scan that pinpoints the very best stocks in the market. It’s the fastest, easiest way to find quality names that are primed for major moves.
The goal is that as the market rally progresses, the sector rotation within the market will reflect in this scan. So while our Top/Down Analysis helps us with the broader view of the market, this Bottom/Up scan makes sure that we catch the slightest change in sentiment.
The market has been moving sideways for two months now. But that does not mean that every sector will reflect the same move.
As the story of a market cycle unfolds, various sectors assume importance just like different characters in a play. Currently, the Chemicals segment is in the spotlight so let's see what its constituents are up to!
The Chemicals segment has been showing strength over the past few days with some interesting setups lined up. We included one such setup in our Trade of the Weekpost.
First up, we have Pidilite Industries which is now moving back into positive territory as it inches towards its overhead resistance at 1,800. The price has consolidated in the range of 1700-1820 and looks ready for a breakout as the indicator attempts to move higher. With the overall sector in focus, Pidilite could be dolling up to participate in the next leg of the rally.
We are bullish above the risk management level of 1,820 with a target near 2,030.
This week we're looking at a long setup in the Chemical sector. Certain stocks from this sector are grabbing our attention and we're looking at one of those!
We retired our "Five Bull Market Barometers" in mid-July to make room for a new weekly post that's focused on the three most important charts for the week ahead.
This is that post, so let's jump into this week's edition.
The Indian Rupee has been strengthening against its counterparts and that has been an interesting change in trend from what we were seeing in early February.
With that in mind. let's take a look at some important levels to track as this trend continues to play out.
Markets across the globe have been taking a breather as the momentum cools off. Taking a closer look back home, the indices have been largely choppy and have consolidated over the past two months.
Is this merely a consolidation? Or are we looking at a minor correction ahead? Let's take a look at what the charts have to say.
In our Three Charts for the Week post, we talked about the resistance Nifty had been facing at 15,400 and also highlighted the crucial support at 14,460. We noticed a divergence in Nifty in January and that has continued to play out as the rally progressed. Within the current setup, the price hasn't been able to move past the 15,400 mark, in addition to now challenging the support level of 14,460.
How often have we heard that sector rotation is the lifeblood of a bull market? Too often! And there's a reason why it's necessary to repeat this statement. At different stages of a cycle, varied variables are at play. This means that every sector will not move in a uniform manner.
Over the past three months, IT has been consolidating as other sectors took the lead. With sector rotation at play, it seems like IT is back in the mix.
Let's take a look at what IT is doing relative to Nifty 100. After breaking out of an almost 12-year base, Nifty IT has been holding on to the high levels displaying inherent strength. Bouncing off its support the ratio chart favours a positive move in this index going forward.
We've been talking about base metals and precious metals for quite some time now, highlighting the levels to track and trends to watch out for.
It's time to look at what's happening in the agricultural commodities space as well. In the past week, we saw some good moves in two names in particular and we're here to discuss just that.
This week we're looking at a long setup in the Power sector. Certain stocks from this sector are grabbing our attention and we're looking at one of those!
We retired our "Five Bull Market Barometers" in mid-July to make room for a new weekly post that's focused on the three most important charts for the week ahead.
This is that post, so let's jump into this week's edition.