State of the Market|Reading the Psychology of the market

How are sectors contributing to overall market’s performance. Well, let us have a look at the last one week and last month sectoral performance to get a deeper understanding of where different sectors stand.

Sector Weekly Performance

Here’s some of the observation based on the weekly performance chart..

1. Last week - it was all about pre-budget anxiety and post budget buying/short covering.
2. It was no surprise to see sudden spike in Real Estate and Metal stocks.
3. Broader market - BSE mid-cap index still remains a matter of concern.
4. FMCG got hit pretty badly because of sell off in ITC on budget day
5. Post budget -two sectors to keep an eye on: Banks and Autos

Sector Monthly Performance

Here’s some of the observation based on the monthly performance chart..

1. February has turned out to be extremely flat month for the market. There was no meaningful move in Sensex - just up 0.45%
2. Tech held on to its leadership position and did not crack as anticipated. In fact - there was good buying in frontline names from lower levels
3. Surprise sector on the upside - Capital Goods. The sector moved up 2.3% in Feb
4. Real Estate and Oil & Gas Sector were under bearish grip and prevented any move on the upside
5. There was complete lack of momentum even in broader market. BSE mid cap index closed 3.4% down. It was a difficult month even to find stock specific opportunity

Let me know how you found this edition of sectoral views. Please suggest how I can make this notes more useful to all of you.

Disclaimer - The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writer