Analyzing India

Is This Sector Set to End its Underperformance?

Milan Vaishnav

Milan Vaishnav


Nifty Financial Services Index ($CNXFIN)

The NIFTY Financial Services sector seem to have ended its short-term underperformance. The Index has broken out from a falling channel and has formed a gap, which indicates greater push to the upside.

The RSI has marked a fresh 14-period high, which is bullish. It also shows a bullish divergence against the price. The daily MACD has shown a positive crossover; it is now bullish and above its signal line.

The NIFTY Financial Service sector is in improving quadrant on the weekly RRG when benchmarked against the broader NIFTY 500 Index. On the daily timeframe as well, it has ended the Improving Quadrant, with the JdK Momentum crossing above 100. This marks a potential end of underperformance on the index against the broader markets.


Milan Vaishnav, CMT, MSTA

Consulting Technical Analyst | www.EquityResearch.asia | SEBI Reg. No. INH000003341

Milan Vaishnav
About the author: , CMT, MSTA is a capital market professional with experience spanning close to two decades. His area of expertise includes consulting in Portfolio/Funds Management and Advisory Services. Milan is the founder of ChartWizard FZE (UAE) and Gemstone Equity Research & Advisory Services. As a Consulting Technical Research Analyst and with his experience in the Indian Capital Markets of over 15 years, he has been delivering premium India-focused Independent Technical Research to the Clients. He presently contributes on a daily basis to ET Markets and The Economic Times of India. He also authors one of the India's most accurate "Daily / Weekly Market Outlook" -- A Daily / Weekly Newsletter,  currently in its 18th year of publication. Learn More