- Nifty continues to be above MA(100) while MA(100) is above MA(200) - suggesting bullish bias, however distance between Nifty and MA(100) is reducing which indicates pullback or sideways action
- McClellan Index although above EMA(59) is going flat - suggesting more stocks are NOT advancing compared to unchanged or declining stocks
What does it mean for our Investments?
- Mutual Funds - Remain invested in equities as we don't see any major signs of weakness yet, hence also continue SIP. Opening new positions could be risky unless we see a bounce above 8050 area, so be patient.
- Stocks - ONLY invest in good patterns, as very few stocks are showing low risk entry. DO NOT forget to have STOP LIMIT in place. Check out our trade size calculator to manage risk along with our watch list.
Although overall trend remains bullish be cautious...