Confirmed Uptrend. Momentum still in negative territory but rapidly improving.

Most indices in the green. Pharma, Banknifty & FMCG in rally attempt. No index in downtrend.

Market breadth has now reached overbought levels.

On Weekly RRG charts, compared to CNX500:

⦿ IT stays the market leader. 

⦿ Smallcap, Pharma & Metals improving strength & momentum.

⦿ PSUbanks join Infra, Energy & Media in the weakening quadrant.

⦿ FMCG improving momentum but lacks strength.

Market breadth strong on all timeframes. Higher timeframe improving bullish bias. Shorter timeframes are now overbought.

⦿ 77% → 85% above 20 SMA (overbought)

⦿ 69% → 79% above 50 SMA (overbought)

⦿ 63% → 68% above 150 SMA (bullish bias)

⦿ 69% → 73% above 200 SMA (bullish bias)

The Ratio between stocks above & below 50MA is 4.1, while that for 20MA is 6.9. The 10-day cumulative ratio for stocks above 50MA is 1.76. A value >2 is good for swing trades on the long side.

The number of stocks up 20% in past 5 days continues to be in strong bullish upthrust. Conducive environment for swing trades. A breather is due.

On a modified Stockbee market monitor, the 5-day cumulative ratio is 3.2 and the 10-DCR is 4.3. Value more than 2 keeps them green.

Number of stocks up 13% in 34 days stays in green, which shows that the short-term phase continues to be bullish.

Overall, the market is bullish till the number of stocks up 25% plus in a quarter is more than that down 25% plus in a quarter. The ratio between the two is the primary breadth ratio, which is 9.9 now, & has finally broken out above the levels of past 6 months.

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