Nifty may be fatigued; but ITC, Airtel among 190 names set to go higher

NEW DELHI: A Hanging Man pattern on the Nifty chart on Wednesday implied the market may be developing fatigue after a long run. Thursday’s stock action in some way confirmed such a trend. But analysts believe the momentum is intact for the medium term and some of the big names may be poised for another leg of rally.

As many as 193 stocks on the Bombay Stock Exchange (BSE) showed clear signs of strength on Thursday on the moving average convergence divergence or MACD, a technical indicator that reflects the ongoing momentum in a security.

The indicator formed bullish crossovers on these counters, hinting at possibility of further upside. Strong trading volumes on many of these counters lent credence to the emerging trend.