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Nifty slips 0.8% on the week; Stage-2 cohort adds 81 names

Index still below its 200-day average, but breadth crept higher and 81 stocks crossed into Stage 2 across five sessions.

Friday, 5 June 20262 min readStage2Stocks Market Desk

Nifty 50
23,367
-0.8% on the week
Market
Neutral — Building
4 sessions in this state
Breadth
35%
above 200-DMA · widened from 35%
Stage 1→2 (wk)
81
net +73 vs 2→3
52w highs / lows
141 / 86
net +55
Stage-2 share
23%
+81 stocks this week

Nifty 50 ended the week down 0.8% at 23,366.7, remaining below its 200-day average and 11.2% off its 52-week high — the regime reads as weak but recovering, with the near-term tilt neutral-to-up for a fourth consecutive day. The index lost ground, yet the internal picture moved in the opposite direction: the share of stocks above their 200-day average edged from 34.7% to 35.1% across the five sessions, and the Stage-2 cohort grew by 81 names to 507 stocks, now 22.6% of the market. Eighty-one stocks completed a Stage 1-to-2 transition over the week against just eight moving Stage 2-to-3, a net addition of 73 — the cleanest sign that base-building is quietly broadening even as the headline index drifts.

Sector picture for the week

Health Care was the relative standout, posting a fractional gain of 0.3% to lead all sectors for the week, consistent with its position as the second-ranked sector over one month (+2.1%) and three months (+8.9%). Communication Services and Information Technology held up better than the broader tape, slipping just 0.1% and 0.3% respectively. Consumer Staples and Utilities were the week's laggards, each falling 1.6%. That weakness in Consumer Staples sits alongside an interesting internal: the sector's Stage-2 cohort has been among the fastest-expanding over the past 20 days, suggesting individual stocks within the sector are building bases even as the sector index itself retreated this week. Energy and Materials show the same dynamic — Energy's Stage-2 cohort has expanded fastest of all sectors over 20 days, though the three-month sector return remains deeply negative at -8.5%. Industrials and Communication Services continue to lead on both the one-month and three-month frames, with Industrials up 10.6% over three months.

What cleared the screen this week

Among the week's Stage 1-to-2 transitions, Inspirisys Solutions, Carysil, and Rain Industries carried the highest setup scores at 8.8, 8.7, and 8.7 respectively. Zydus Lifesciences and Indo Count Industries also screened cleanly at 8.3. In Health Care — the week's leading sector — Thyrocare Technologies and Zydus Lifesciences both appeared in the transition list, while Thyrocare and KDDL additionally cleared the fresh-breakout screen. On the sustained-setups side, Stylam Industries holds the highest score in the screener at 9.8, with Venus Remedies and Bliss GVS Pharma close behind at 9.6 each — both in Health Care. Rain Industries appears in both the transition and sustained-setup tables, scoring 9.2 on the latter. The week closed with 141 stocks at fresh 52-week highs against 86 at new lows, a net of +55 — a modest but positive skew for a week in which the index itself declined.

This week's stage transitions
StockSectorMoveSetup
Inspirisys Solutions LtdInformation Technology1→28.8
Carysil LtdConsumer Discretionary1→28.7
Rain Industries LtdMaterials1→28.7
KDDL LtdConsumer Discretionary1→28.3
Zydus Lifesciences LtdHealth Care1→28.3
Indo Count Industries LtdConsumer Discretionary1→28.3
Thyrocare Technologies LtdHealth Care1→28.2
Savita Oil Technologies LtdMaterials1→28.2
Sustained Stage-2 setups (score ≥ 7)
StockSectorSetupRS
Stylam Industries LtdIndustrials9.895
Venus Remedies LtdHealth Care9.699
Bliss GVS Pharma LtdHealth Care9.699
Rain Industries LtdMaterials9.288
Garware Hi-Tech Films LtdMaterials9.283
Yasho Industries LtdMaterials9.282
Sandhar Technologies LtdConsumer Discretionary9.287
Gland Pharma LtdHealth Care9.291
Sector performance — cap-weighted, ranked by today’s move
Sector1D1M3MRSStage 2
Utilities+1.0%+0.2%+6.9%6426%
Real Estate+0.5%-4.9%-1.1%418%
Health Care+0.4%+2.1%+8.9%7130%
Industrials+0.3%+2.0%+10.6%6725%
Consumer Staples+0.3%-5.8%-2.7%5332%
Financials+0.2%-7.2%-9.9%5820%
Consumer Discretionary-0.1%-2.4%-1.6%6519%
Communication Services-0.6%+2.9%+7.3%6311%
Energy-0.8%-7.8%-8.5%6143%
Materials-1.1%-0.9%+4.8%7125%
Information Technology-1.3%-1.2%-1.8%3918%
Share of NSE stocks in Stage 2Dec 2025 – Jun 2026 · weekly
0%10%20%30%40%50%60%70%Jan 26Nifty 50Stocks in Stage 2Latest: 23%
The share of NSE stocks in Stage 2 over the six months to this wrap, with the Nifty's shape above it — the market underneath the day's numbers. Source: Stage2Stocks classification of every NSE stock with enough history, each week.
Try it on Stage2StocksHow to read this chart Lesson 3 of the course: why the Nifty isn't the market, and what the share of stocks in Stage 2 tells you.

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