Bulls party continues on D-Street: India VIX jumps 9 per cent, Tata Power zooms over 13 per cent!

However, the twist in the tale is that despite a strong move in the headline indices, India VIX, which is often called as the fear gauge

Market Update at 10:00 AM: There is no stopping to the bulls’ party on D-Street as Nifty scaled to yet another milestone by touching a fresh record high of 18,521 on Monday. However, the twist in the tale is that despite a strong move in the headline indices, India VIX, which is often called as the fear gauge, has skyrocketed over 9 per cent.   

All the sectoral indices were trading in green expect for Nifty Pharma, which declined by 0.46 per cent. Nifty Metal and Nifty Energy turned out to be the top two performing sectors.   

There are many stocks that are seen buzzing on the bourses today. Tata Power is one of them as the stock has jumped over 13 per cent and scaled to a fresh record high. Hindustan Zinc is yet another stock, which has logged a double-digit gain of 11.34 per cent.   

The domestic equity markets are in a strong bullish zone, outperforming the global markets. On Thursday i.e. on the weekly option's expiry day, Nifty advanced by 176.80 points or 0.97 per cent. Barring auto, all other sectoral indices have participated in today's rally. Almost every sectoral index rose by over one per cent, showing the strength in the market's upmove.  

We almost met our short-term target of Nifty i.e. 18,365, faster than expected! In the last five trading sessions, Nifty went up by 548 points or 3.08 per cent. This is one of the strongest bullish weekly candles in the current uptrend. The breakout of 13-day cup pattern breakout gave an impulsive move in the last few days. It opened with gap ups in the last two days and moved higher. A decline only below these two gaps will create some bearish signs. The supports moved much higher. On the daily chart, the first area support is at 18,197 while the second gap area support is at 18,009. On the weekly chart, Nifty has formed the most bullish candle, as the low & high of the week are almost equal to the open as well as the close. The 20-DMA support is at 17,775. The benchmark index has moved higher by over five per cent since the current swing at 17,452. The daily MACD has given a fresh buy signal while the histogram suggests that a fresh bullish strength is a reality now! The RSI on the daily and weekly charts is above the zone of 75 and also, near the previous high. Nifty will rally another one per cent before it consolidates once again. We can expect a decent consolidation after meeting the cup pattern breakout target, which is at 18,444. Now, aim for this target next week! However, stay cautious, as the aggressive profit may lead to a sharp decline.