June Market Wrap: Nifty50 closes at record-high levels

Today, the Nifty50 index opened at 19076.85, which was 0.6% up from its previous day’s closing of 18972.10. It started the day with a green hammer kind of candle suggesting it is ready to go upside and during the intraday session, it faced hurdles at around 19100 levels. It made two attempts to cross this hurdle then finally around 11:35 AM it crossed the intraday high of 19108.20, and started moving towards the upside. The rally continued till the closing bell. 

During the afternoon session, it touches a remarkable level of 19200 for a while at around 3:00 PM. Eventually, Nifty50 concluded the day at 19189 at record-high levels. The bulls were aggressive and active throughout the day and led the rally whereas the bears tried to restrict at around 19100 levels but eventually fails. 

Over the past three days, Nifty continuously began its day with a gap-up opening and forming a green bar on the chart during the daily time frame.

At the start of June, Nifty began trading at 18579.40, which was a 45-point up from the previous month’s closing of 18534. On the last trading day of the month that is today, Nifty closed at 19189, forming a significant monthly bullish candle on the charts. Throughout the month, Nifty delivered a return of 3.5% against last month’s return of 2.7% and is closed at all-time high levels. Over the past three months, Nifty has provided an absolute return of 10.3%. Now It’s 52-week high and low are 19201.70 and 15858.20. In the last one year, it has delivered a return of 20%.

Turning your attention to the other two indices of NSE, the Nifty Bank Index, and the Nifty IT Index, today the indices closed in green and up by 2.5% and 0.95% from their previous day’s closing respectively. Nifty IT is the top gainer among all the sectoral indices available on the NSE, while Nifty Bank is trading at all-time highs. The BSE index Sensex zoomed 803 points today and finally closed at all-time high levels at 64,718.56.

The Top 10 High Weightage Stocks Performance: 

Based on the provided data, it can be observed that out of the top ten heavyweight counters, three stocks have generated negative returns. They are ICICI Bank Ltd, TCS Ltd, and Kotak Mahindra Bank Ltd, whereas Larsen and Toubro Ltd has outperformed among all, and has generated a return of 11% in one month. The second-best gainer was Axis Bank Ltd, which generated a return of 5.35% out of these ten stocks.

 Top 5 Best Performers:

On the daily timeframe, the Relative Strength Index (RSI) is currently at 72.04 which was 64.99 last month, while on the weekly and monthly timeframes, it stands at 68.14 and 66.18, respectively. Notably, the RSI remains above 60 on all major timeframes and has improved on daily time frames from 64.99 to 72.04, which could be seen as a positive indication for the upcoming month. Additionally, Nifty50 is trading above key Moving Averages such as the 20-day, 50-day, 100-day, and 200-day averages on major timeframes.

Looking at the current weekly expiry, which is set for July 6, the Call Open Interest is approximately 14.46 lakhs, whereas the Put Open Interest stands at 23.79 lakhs. Notably, there is significant open interest at the 19200 and 19300 Call strike prices, with 1.38 lakhs and 1.17 lakhs, respectively. On the Put side, there is substantial open interest at the 19100 and 19000 strike prices, with 1.81 lakhs and 2.43 lakhs, respectively, indicating these levels may act as immediate resistance and support for the upcoming expiry. 

The Put Call Ratio (PCR) for Nifty50 is currently 1.64, while the PCR for the July month expiry stands at 1.34, according to data from the National Stock Exchange.

The Nifty50 index crossed all the barriers and closed at an all-time high level. Investors should closely monitor the upcoming movement to take advantage of the potential upside in the market.