Rome was not built in a day neither it’s an easy walk to come and cross the life-time high formed by the Indian benchmark. It says that ‘Nifty50 usually trade in the phase of ‘Accumulation’ before halting the previous life-time levels. After giving a close of life-time highs on Monday, Nifty50 didn’t show any the consecutive upticks and trading in consolidation. The lackluster approach of the Indian benchmark was very much expected by the market participants as heavy Call Writing is seen at 11,900 and 12,000 levels. All indices are performing lackluster while but metal stocks are shining today after the doldrums of Sino-U.S. tariff war, which was halting the global indices previous days. Nifty Metal is trading at 3020, 1.36% above from its previous close. On daily scale, the index has been retraced from 78.6% as per Fibonacci analysis. The index is trading above 50 days Exponential Moving Average. The index is expected to continue its bullish momentum and find resistances near 3,185 and 3,470 levels respectively. Awesome oscillator is on the verge of giving a bullish crossover while CCI is trading at 60.76 levels. Although Awesome oscillator and CCI are not the only indicators to dictate the future prices, one can make use of other tools like MACD, Andrew Pitchfork, Chart and Candlesticks Patterns.
Some stocks of this counter are also witnessing heavy volumes and momentum that are convincing the emerging trend.
- JSW Steel: Major steel producer is trading at 294, 2.15% above from its previous close. The stock has reported a plunge of 49% profit to Rs. 1523 crores in Q4 results. The company is expecting a slow-down in the growth of steel demand in India to 6.5%.
- Coal India: The stock is trading at 249, 2.03% above from its previous close. India’s coal imports rose by 13% to 21 million tonnes in April. There has been a block deal of 410,647 shares on May 02, 2019.
- Welspun Corporation Limited: Top gainer in metal stocks is trading at 145.45, 2.35% above from its previous close. The stock is trading above 200 days Exponential Moving Average.