Nifty Today: “Tough Nut” - 13 Jan’22


Nifty View: Benchmark Nifty index shows good resilience with another 46 points positive close for the day's trade today. So far, we have five consecutive positive daily gains from the index throughout which the index has successfully posted a sequence of higher highs and higher lows. There is no doubt that the underlying trend is up and resilient, but a look at momentum indicators shows that this recent gain is slowly but surely losing momentum. BankNifty, and especially HDFCBank with the other private sector banks that did show early signs of correction in today's trade. Strategically, one should stay with the trend and look to initiate long trades but not in haste. On the other hand, wait for lower levels, specially at supports, wherein risk-reward ratio is are far more favourable.

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