Nifty closed 88 points higher from yesterday, at the level of 7600. It has finally overcome the consolidation zone of 7550-7400. On the wider view of nifty we can observe the phenomenon of ‘Bearish Divergence’ .
A bearish divergence is formed when the price makes higher high and the indicator (RSI here) formed lower highs.
The next support for the index is naturally 7400, whereas the resistance is at the levels of 7730 and 800, reason detailed in the video.
Gainers: Vedanta ltd closed 7.83% higher today. This stock has been our focus for the bullish indications since the level of 67-70. Voltas ltd- +6.58%, some large caps like Hindalco industries- +5.49%, ACC ltd- 4.97%.
Losers: Pharmaceuticals as a sector lost heavily in the beginning of the day. Though most stocks managed to cover for the loss, lupin was the biggest losers, closing 7% lower, wockhart pharma closing 1.95%, Ajanta pharma 1.50% lower.
Since it is Friday and the end of this week, lets take in the weekly performance and the best stock performance.
TRhe nifty PSU bank index was the best performer, which closed 5.20% higher than last week, followed by Bank nifty and IT, Nifty gained just 1.20% this week since last week and most of this week was lost in consolidation.
The best performing stocks were:
The worst performing stocks were:
The international indices showed listlessness, atleast in Europe which seemed to be taking a breather after sharp correction against commodity prices yesterday. The Asian indices were quite bullish except for Janapanese Nikkei 225, which closed 1.2% lowr today.
CHART OF THE DAY
ACC has bounced up from the support trendline and is very close to the resistance trendline in its downward sloping channel.
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