Reliance on the hourly timeframe momentum is drying up. Interestingly Reliance Industries (RIL) on Friday reported Rs 9,435 crore consolidated profit for the March quarter, its highest quarterly profit. Reliance earned about $11 for every barrel of crude processed into fuel in the fourth quarter as compared to $11.6 per barrel in the three months ended December.
Reliance is trading in a broader range on the 4 hourly charts 870-950. Immediate selling pressure is witnessed in reliance as the indicator sentiment is holding negative and trading very close to the bottom range. It could add more pressure to Nifty futures if further sell-off is likely to witness in reliance. Immediate long term supports available at 200MA at 860 levels.
Andhra Bank on Monday plunged more than 14% intraday after the Enforcement Directorate on Friday filed a charge sheet against former Andhra Bank director Anup Prakash Garg in connection with a Rs 5,000 crore bank fraud involving Sterling Biotech Ltd (SBL) of the Sandesara group of companies. Volume was heavy indicating long term players in control in the markets.
Is Nifty Pharma hungry enough to starts its second bull run? Responsive coppock on increasing mode. Yet to turn positive. Bad news all over the counter yet index is managing to hold to trade in sideways on a broader scale. Higher timeframe sentiments are mixed monthly is holding positive and weekly is maintaining negative and daily sentiment is holding positive. Do you think a bounce back is on cards from here on?
Lupin Daily chart shows responsive coppock oscillator is at the extreme which indicates a potential medium term trend could emerge with potential support coming around 853. Higher timeframes are continuing with positive sentiment. Buy on Dips is the strategy to practice in Lupin. Immediate resistance comes around 1080. Price is expected to reach the destination target 1405 in a span of 6-8 months.
Chart showing a strong divergence between S&P 500 index and High Yield Junk Bonds ETF (JNK and HYG). Interestingly S&P 500 is in the process of making all time high and the high yield bonds are not. Typically Junk bonds have high correlation with the market when the internals fail it is something which is not a good market sentiment for the current uptrend.
Gold is currently trading above 200 Weekly Moving Average post the touch of 200 Weekly Moving Average and sustained above 4 weeks with a descent rally. To me it looks like a new bull trend is likely to began as gold had spend significant amount of timewise correction. Almost 5 years spent in a broader consolidation phase between 1100-1400.
Look out the amount of whipsaw happened around 10500 is that a cool way to bait weaker hand buyers. Every time Nifty Futures goes above 10500 the general crowd sentiment gets bullish. Is this how the weaker momentum buyers flow in?
Three Sectors( Nifty Commodities, Nifty Energy, Nifty Metals) that might underperform Nifty in medium term as the mentioned sectors are entering into lagging quadrant. Its better to avoid these sectors in medium term if your investment horizon is 3-6 months.
ONGC bounced back from 200 day moving average levels. Supports are expected around 175. Immediate Reference levels to watch on the higher side 192 and 195 in the short term. ONGC also currently trades above 200 MA hourly levels as well interesting setup to watch for short and medium term investing.