February 2013 Broke The Back of Indian Market - Nifty

If there was "Hope" Index in Indian market, I would be eternal buyer.....
O Ashuji


I have time and again (please read previous posts on Nifty) discussed how nature of market changed in 2013. Not only broad market collapsed but defensive started outperforming. Since June 2012 low to December 2012 rally was broad based and its nature completely changed in 2013. However, it was February 2013 that broke the back of NIFTY.

Let the DATA talk....

Top Performing Nifty Stocks Since June 2012 Low

February 2013 Nifty Top Losers

2013 Nifty Top Gainers and Losers

Conclusions
1) Most of the gainers since June 2012 lows were beaten out of shape in February 2013...Break of ICICI, AXIS and Maruti was critical.

2) 20% of Nifty stocks are down 20%+ in 2013 and gainers are primarily defensives (Pharma & FMCG)

3) Nifty's Feb 28th close was 5693 and today's close was 5689....thus Nifty has been basically flat for 31 trading days...It is very rare for back to back month having less than 1% closing basis move. This has happened only once since 1991 where back to back month had less than 1% closing move. It happened in July-Aug 2012 which was followed by 8%+ move in Sep 2012. May 2013 could be wild.....given the nature of bounce and broad trend, downside is more likely. 




Nifty April Gainers....led by beaten down and oversold stocks.....Interestingly Pharma makes to the list which shows nature of bounce in April so far...

40% of Nifty is negative now since June 2012 rally....Though Nifty is up 15%