The Emerging markets as a basket are showing good strength – India, China, Taiwan, Indonesian markets all are showing strength.
Even Developed markets of Japan, US, France, Germany, UK are hovering near all time highs and showcasing strength.
The art of strength continues to be metals , commodities, precious metals like gold, silver, copper.
If I talk of YTD basis that is January 2024 till Date May 17 2024 for Indian Markets, the intermarket performance is as below-
Nifty Reality is up 25%
Nifty Auto 23%
Nifty Metal is up 18%
Nifty Infra up 17%
Nifty Pharma up 13%
Nifty Small Cap 250 is up 10.50%
Nifty Mid Cap up 8%
Nifty up 3%
Nifty IT down 5%
Nifty FMCG down -3.5%
As we head further into elections – I am expecting volatility to heighten. India VIX which is currently placed around 20 is expected to move around 24 – 25 levels- and may be 30 levels as well. Next 2 -3 weeks are expected to be very volatile in the stock market because of the outcome of elections.
Broad range On Nifty is 22000 to 23000 plus minus 200 points levels as key support and resistance for immediate short term – a fortnight.