📊 Sectoral Breakout Alert! Several key sectors in the Indian stock market are showing signs of strong bullish momentum. Chart patterns and rising volumes suggest that a potential rally is on the horizon.
🚗 Nifty Auto – Breakout seen with a hammer candle and high volume. A move above previous highs with bullish confirmation could trigger the next leg up. 🏦 Nifty Bank – Breakout visible since March with strong volume support. ⚡ Nifty Energy – Significant rise in volume since January 2025. This build-up hasn’t been seen in recent months — signs of something big coming. 💻 Nifty IT – After a long downtrend, a large hammer candle in April with strong volume indicates possible reversal. 💊 Nifty Pharma – A bullish flag pattern is forming. A breakout with volume could signal a strong upward move. 🏘 Nifty Realty – Volume build-up and steady price movement are signaling renewed investor interest.
These sectors look ready to take the lead in the next bullish phase of the market. Are you prepared to ride the sectoral rally with the right stock picks?
Narayana Hrudayalaya’s stock witnessed a significant movement last week, recording the highest volume in 8 years. Such high volume levels were last seen in 2016.
Mutual Fund Holding
Price Action & Volume Analysis:
The candle formed last week had a record-breaking volume, but a large wick was observed at the top. This suggests that the price was rising, but aggressive selling by sellers put pressure on buyers.
Chart
A similar situation occurred in 2016, which was followed by a major correction. If history repeats itself, short-term selling pressure could be expected.
This serves as a reminder that analyzing historical data on charts is crucial to understanding how similar price actions have played out in the past.
Fundamental Performance:
The company has been consistently growing its revenue while effectively controlling its expenses.
Despite inflation, the company has managed to keep its expenses in check, which is a strong indicator of efficient cost management.
In March 2013, the company’s operating margin was just 8%, which has now increased to 23% as of March 2024, reflecting improved efficiency and profitability.
The company is investing in capital expenditure (capex), which is a positive sign for business expansion and future growth.
Expansion
Payment Cycle:
The company has improved its Days Sales Outstanding (DSO) –
In March 2013, cash collection took 40 days, which has now reduced to 31 days.
Ratios
On the other hand, Days Payable Outstanding (DPO) has increased from 121 days to 205 days, meaning the company is able to delay payments to suppliers, showcasing better working capital management.
Shareholding Pattern & Float:
Public holding stands at 17.39%, with 1,77,792 shareholders, making it a high-float stock. A high float means the stock has good liquidity, but the downside is that price movements can be slow or unpredictable due to actions by large players.
Shareholding Pattern
Conclusion:
Fundamentally, the company is performing strongly. However, from a technical perspective, last week’s price action and volume, when compared to historical data, could serve as a warning sign. If price behavior similar to 2016 repeats, there could be short-term downside risk. In such cases, it would be wise to analyze both historical price action and fundamentals before making a decision.
A strong bullish candle has formed on Aavas Finance’s weekly chart, accompanied by high volume—the highest volume seen in the past year.
Technical Analysis:
1.The stock had been trading sideways for a long time but is now showing momentum with volume.
2.If this breakout is confirmed, a good upside move could be expected.
Fundamental Analysis:
Market Cap: ₹15,046 crore
EPS (Earnings Per Share): ₹71.1
P/E Ratio: 26.7 (Moderate valuation, but growth potential may justify it.)
Revenue Growth:
March 2013: ₹18 crore
March 2024: ₹2,018 crore 🚀 (Impressive 10-year growth!)
Financing Margin: Continually improving, which is a positive signal for profitability.
Reserves: Increasing steadily, indicating financial strength and stability.
Stock Price Vs. Fundamentals:
The company’s sales and profit are growing, but the stock price has not moved aggressively.
This could mean the market is still digesting valuation or liquidity factors.
Institutional Holding (Smart Money Presence):
FII Holding (Dec 2024): 33.97% (Strong confidence from foreign investors)
DII Holding (Dec 2024): 25.69% (Domestic institutions also hold a good stake)
Final Thoughts:
✅ Technical breakout + high volume could be a bullish signal.
✅ Strong fundamentals – revenue, profit, and reserves are growing consistently.
✅ Strong institutional holding by FIIs and DIIs, indicating stability.
⚠️ Breakout confirmation is crucial – if it sustains, a strong upside rally could follow!
