The benchmark Nifty50 managed to reclaim its 200-day moving average (DMA) on Wednesday but about half of top 500 stocks continue to languish below this key technical indicator.<\/p>\n
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Photograph: ANI Photo<\/span><\/p>\n The 200-DMA \u2014 nearly a year\u2019s average of closing prices \u2014 is analysed by traders to understand the market sentiment.<\/p>\n A fall below these levels indicates a weak trend.<\/p>\n \u00a0<\/p>\n As many as 117 of the top 500 stocks are trading more than ten per cent below their 200-DMAs, data shows.<\/p>\n Among individual stocks, Tanla Platforms, Mastek, and Medplus Health Services are trading more than 30 per cent below their 200-DMA.<\/p>\n Meanwhile, stocks like Mazgaon Dock Shipbuilders, KRBL and Cochin Shipyard are comfortably above their 200-DMAs, with Mazgaon Dock 104 per cent higher and Cochin Shipyard 55 per cent higher.<\/p>\n Analysts said that half of the BSE 500 firms trading below 200-DMA clearly indicates that market sentiment isn\u2019t strong and there is heightened selling pressure in the broader markets.<\/p>\n “When markets are volatile, mid-cap and small-cap stocks do not perform.<\/p>\n “The broader trend is unlikely to change immediately due to global headwinds.<\/p>\n “Gains will be more sector and stock specific,” says AK Prabhakar, head of research, at IDBI Capital.<\/p>\n Rising bond yields, worsening geopolitical situation and fears of a global recession are forcing investors to stay away from risky assets.<\/p>\n The ascent of the US dollar against global currencies, along with rising bond yields, have made foreign portfolio investors (FPI) net sellers of Indian equities and added to investor woes.<\/p>\n Moreover, domestic markets are not immune to global turmoil despite the Indian economy doing better than many of its global peers in a year of global economic distress.<\/p>\n<\/div>\n[ad_2]\n<\/p>\n News From This Website <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"