The Good Bad and Ugly weekly review : 29 Jul 2022

Performance Update

The SMILES are certainly BACK after witnessing nifty climb above 200 DMA after testing our patience for quite sometime. The last year has been a tough one and this should do a whole lot of good in terms of bringing back some optimism. Nifty still has to show strong momentum to climb above the recent lower highs which act as immediate resistance zones. But – hold on. As practitioners of momentum investing, we try to follow the markets rather than working based on assumptions or predictions. We stay either in CASH (absolute momentum) or allocate to the strongest stocks (rotational momentum) when markets show weakness and try to capitalize whenever there is an uptrend. Check out this video to know more about the difference between ROTATIONAL & ABSOLUTE Momentum.

Nifty is almost up (+13%) from the recent bottom on 17 June 2022 & is also up (+2.62%) in the past week. All other benchmark indices have performed in line with Nifty barring the smallcaps which are yet to show similar kind of momentum. METALS witnessed an incredible rally in the past two days to clock (7.69%) in the past week & most sectors fared well returning between (+1%) & (+4%). FMCG & AUTO were negative this week but are still in top 2 when you look at the performance in last 3 months. WeekendInvesting strategies have done quite well to capitalize on the recent up trend. CASH levels on absolute momentum strategies are gradually coming down while Rotational momentum strategies are doing very well with Mi NNF 10 leading the charge.

Click on the link below to read the full report

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