Yesterday's breadth repair continued, but the gap between the index rally and advancing stocks widened again. The market remains Neutral — Fading. Tomorrow's routine still calls for selective chart screening rather than a broader search for breakouts.
The rally is reaching more stocks, slowly
Nifty extended its rise to four sessions and remains above its 50-day average. Yet only 20.9% of stocks are above their own 50-day averages. Daily breadth was positive but less convincing than yesterday, with the advance-decline ratio easing to 1.3 from 2.3. The Stage 2 drain we have followed continues: its share lost another 0.6 percentage points. Over five sessions, 11 stocks moved from basing to advancing against 100 moving from advancing to topping. That leaves trend repair well behind price repair.
Energy's rally still lacks participation
Yesterday's Energy surge has not repaired its advancing cohort. The sector added 0.6% today, but its Stage 2 share fell from 48.3% to 44.8%. Consumer Staples took the daily lead, although its relative-strength score remains the weakest among sectors. Sugar offers a more specific pocket, with 58.6% advancing despite a 9.2-point contraction over 20 sessions. Health Care retains the strongest relative-strength score, and biotechnology's 11.1-point participation expansion remains intact. These are separate pockets, not broad sector confirmation.
Keep the shortlist separate from the rally
Shringar House of Mangalsutra heads the early-stage watchlist with a setup score of 8.4, ahead of Tech Mahindra at 8.2. Punjab National Bank is 3.4% above its 50-day average; public-bank participation remains at 25% despite today's price decline. Financials as a whole still has only 20% advancing, while IT's participation gap persists. For existing watchlists, RBL Bank and Chalet Hotels moved from advancing to topping tonight. Those changes deserve a chart review before adding fresh candidates.
| Stock | Sector | Setup | % 1D |
|---|---|---|---|
| Shringar House of Mangalsutra Ltd | Consumer Discretionary | 8.4 | -1.6% |
| Tech Mahindra Ltd | Information Technology | 8.2 | +0.1% |
| Kotak Mahindra Bank Ltd | Financials | 7.9 | +1.4% |
| Sejal Glass Ltd | Industrials | 7.9 | +6.4% |
| Indian Hotels Company Ltd | Consumer Discretionary | 7.8 | +1.6% |
| Punjab National Bank | Financials | 7.6 | -1.7% |
| Patel Retail Ltd | Consumer Discretionary | 7.4 | +0.5% |
| Cyient Ltd | Information Technology | 7.0 | -0.2% |
| Sector | 1D | 1M | 3M | RS | Stage 2 |
|---|---|---|---|---|---|
| Consumer Staples | +3.2% | +2.4% | -7.8% | 50 | 24% |
| Communication Services | +2.4% | +10.7% | +3.2% | 67 | 16% |
| Real Estate | +1.9% | +0.4% | -5.3% | 55 | 16% |
| Financials | +1.3% | +1.3% | -6.8% | 59 | 20% |
| Consumer Discretionary | +1.3% | +1.7% | -3.7% | 63 | 26% |
| Materials | +0.8% | -1.3% | -6.5% | 67 | 30% |
| Energy | +0.6% | +8.5% | -2.0% | 60 | 45% |
| Health Care | +0.6% | +0.9% | +0.6% | 75 | 39% |
| Industrials | +0.5% | -2.7% | -5.4% | 68 | 22% |
| Information Technology | -0.0% | +11.2% | +0.2% | 57 | 23% |
| Utilities | -0.5% | +0.2% | -9.0% | 67 | 6% |
Work the same data live: open the full stock screener, watch the live market dashboard, or check the market-timing read. New to the method? Start with the four stages.
Stage2Stocks is an educational stage-analysis screener. These wraps describe what the screen shows across NSE cash equities — they are not investment advice, recommendations, or buy/sell calls. Always do your own research.