Technicals for week ending – 4th May 2018.

Note : This is not a recommendation and I am not a registered analyst, these are just data points and an assessment of the positives and negatives from a longer term point of view.

Nifty Weekly

Chart 1. Longer term trend model based on weekly prices is long & both monthly models are also long. Check here.

Chart 2 Nifty total returns/10 year Bond index ratio is above its 40-week MA & momentum also favours Nifty index, indicating longer term outperformance for Nifty vs bonds.

Chart 3 Longer term intermarket strength as per the RS matrix is in IT, Media & FMCG. With Metals and Pharma at the bottom.

Chart 4 Majority of indices are above their 40-week MA.

Chart 5 Avg. & Median distance of all sectors from their 52-week closing high is at -8.3% & -7.7%.

Chart 6 FII & CLI flows in Index futures segment is positive.