Weekly Trend Report
- 06th May 2024
Week Gone By
- In the week ended on Friday, 3 May 2024, the S&P BSE Sensex gained 941.12 points to settle at 74,671.28.
- The Nifty 50 index jumped 223.45 points or 1% to close at 22,643.40.
- The BSE Mid-Cap index rallied 1.99% to end at 42,414.53. The BSE Small-Cap index shed 0.1% to close at 47,191.41.
Week Ahead
- Overseas, the China will announce its trade figure for the month of April on 9th May, 2024.
- The Germany will released its import and export numbers for April on 7th May, 2024.
- The Bank of England will announce its interest rate decision on 9th May, 2024. The BoE maintained the Bank Rate at 5.25% during its March meeting, its highest level since 2008, as policymakers awaited clearer signals indicating that the country’s persistent inflationary pressures had subsided.
Technical Overview
The benchmark index commenced the truncated week on a positive note and consolidated higher, with the median of the ascending channel acting as immediate resistance. That, coupled with the pivotal resistance near 22775, caused the index to succumb to selling pressure and pare all gains. Yet, escaping a distribution day, it saw a muted weekly closing against a 33.8% rise in the VIX. The populace of stocks trading above 10DMA slipped below the 50% threshold while those above 20DMA continued to stand above the 50% threshold. The momentum market breadth remained mildly positive, while the market breadth volume indicated modest accumulation. Overall, the market breadth saw mildly weakening. However, the swing confidence remains high as most broader indices and sectorial themes remain in an uptrend with improving negative momentum. On the derivative front, 22800CE saw the highest build-up and addition of open interest, indicating stronger resistance. Technically, the zone of 22330-22290 acts as an immediate support zone and a weekly closing below it will invite further selling pressure.
Supp: 22290-22150-21860
Res: 22775-22900-23050
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