market wrap - 27th may

Welcome to Market Overview by Growth Investing. Today we will see how was the market, how the indexes performed, which sectors were in trend, and what can be the trend in the coming time. Starting with Nifty, it was down 0.7%, approximately 175 points. It was a very volatile market with a 350-point swing from high to low, mainly due to Sensex expiry. Premiums behaved weirdly, making it tough for option traders. Nifty Midcap was 0.2% positive, Smallcap was flat, and Next 50 was 0.27% negative. Overall, the market trend was negative. Nifty Next 50 is still trading above the 21-day moving average. After the big fall on Tuesday, 20th May, which was seen as a profit booking week, the market has been in the same range. If it crosses the recent high, the bullish trend may continue. Smallcap is also standing near its high, and a breakout could lead to a positive move. All indexes are trading above their 21-day moving average. Nifty Midcap is also in the same range, and a breakout there may also lead to more upside. Among sectors, Nifty Defence was up 1% despite the overall market being down. PSU Banks were flat at 0.26%. Major losers were FMCG, ITE, and OTO, which are all part of Nifty. So the top performing sector was Nifty Defence, and the worst performing were FMCG, ITE, and OTO. The Nifty heatmap was quite red. Stocks like OTO, Bajaj twins, ITE, HDFC, and ICICI Bank were all down, contributing to the negative sentiment. Nifty 500 is also trading in the 20th May range and forming inside bars. If it breaks above 23,000, another upside move may come. For now, the trend is still positive, and we should continue looking for positive trades.