Monday, October 26
As the Nifty 50 index closed below the crucial 200-DEMA on Monday, technical indicators present a mixed outlook for the market. The Relative Strength Index (RSI) currently stands at 40.7 — trending downward and indicating bearish momentum. In contrast, the Stochastic RSI showed a bullish crossover, hinting at a potential short-term recovery. This divergence in indicators suggests caution, as the market lacks a clear directional bias.The Nifty faced strong selling pressure throughout the session, struggling to sustain above the immediate resistance level of 24,000. It closed below 23,700 and breached the 200-day Exponential Moving Average (EMA), signalling a bearish trend. If the index fails to hold above current levels, further corrections could lead to the next support levels at 23,270
India’s health ministry on Monday confirmed two cases of Human Metapneumovirus (HMPV) in Karnataka. In addition to this, one more case was reported in Gujarat, taking the total number of cases in India to three. The health ministry said that the cases have been detected through routine surveillance for multiple respiratory viral pathogens, as part of ICMR's ongoing efforts to monitor respiratory illnesses across the country. A 3-month-old female infant was diagnosed with HMPV after being admitted to Baptist Hospital, Bengaluru with a history of bronchopneumonia. She has been since discharged. An 8-month-old male infant, who tested positive for HMPV on January 3, 2025, after being admitted to Baptist Hospital, Bengaluru, with a history of bronchopneumonia. The infant is now recovering.ALS
Despite the sell-off on Friday, technical analysts remain positive with the Nifty expected to touch 24,400-24,500 in the near future. This implies an upside of as much as 2% over Friday’s closing of around 24,000. The action will most likely be stock-specific, while analysts said the downside is a good time to accumulate large-cap stocks.DHARMESH SHAH HEAD OF TECHNICAL, ICICI SECURITIESWhere is Nifty headed? On expected lines, the Nifty managed to hold the long-term rising trend line that coincided with the 200-day EMA, despite the depreciating rupee and consistent FII sell-off. This highlights buying demand at the elevated support base, further validated by a positive divergence on the daily RSI. The overall price structure reiterates our positive stance with a target of 24,400 for the
The issue of front-running has come under the spotlight once again after Sebi uncovered a front-running by stock market operator Ketan Parekh along with other entities. Ruchita Sonawane takes a closer look at what is front-running and how it happens.What is Front-Running?Front-running is an illegal practice of purchasing a stock based on unpublished information of a large transaction that could move prices. Since big trades by large investors usually move stock prices, those with insider information build positions prior to the execution of the large investor's order betting that they would make profits once the purchase or sale happens.How does it work?In most trades executed by institutional investors like foreign funds, mutual funds or hedge funds, insiders and brokers have an idea of t
