5 pieces of wisdom from marquee fund managers to ace the index

Last week I brought to you the key lessons from our top retail investors to Ace the Index. This week I wish to share valuable insights from the marquee fund managers.

During the discussion, fund managers spoke about the do’s and don’ts to outperforming the Index. Further, they guided how to manage market turbulences. Here are some key learnings from the session.

These key learnings should be kept in mind by all market participants as they will not only aid in growth during good times but will also help to reduce the brunt during the market fall. Moreover, it will assist you to Ace the Index.

Technical Outlook
Nifty continued its bullish momentum for the third consecutive week and closed higher at 17,828 levels with a gain of 1.30% on the weekly closing basis. Prices have shown a strong reversal from the lower levels and gained more than 5% in just three weeks, which indicates strong buying demand in the benchmark index from the lower levels.

Index on the daily chart continued to trade higher post bullish golden crossover formation of 9 & 21 EMA and prices on the 120 mins chart are trading in a higher high formation which indicates bulls were consistently having an upper hand in the market.

The frontline index has given a bullish confirmation by giving a break above the previous intermediate high and neglecting the lower top lower bottom move. The momentum oscillator RSI (14) has witnessed a breakout of a three-month-long consolidation band and the oscillator has closed above its horizontal trend line with a bullish crossover.

Technically, the view remains with a bullish bias with buy-on dips to be used strategy, with support to be seen near 17,550 levels while resistance is now at 18,000 levels.


Expectations of the Week
Next week, China's yearly and quarterly GDP figures will be released, providing insight into the country's economic recovery path. With US inflation coming in at an unexpected 5%, jobless claims will be closely monitored. Back home, the quarterly results will gather pace with IT and BFSI companies reporting their numbers. Stock specific movements will be prominent and as investors react to earnings misses and beats, they are advised to assess the company's long-term potential rather than basing the investment decisions solely on quarterly performance. Nifty50 closed the week at 17,828 up with gains of 1.30%.