It is observed that Sensex is relatively having momentum build up and likely to enter from improving quadrant to leading quadrant which indicates out performance compared to the benchmark index S&P 500. Rest of the other markets are relatively pose a falling momentum. Brazil Bovespa this week moved into the weakening quadrant indicating the possibilities of under performance. Shangai SSEC showing under performance so far with stable momentum.
Bank Nifty, CNX Finance, CNX Auto are the sectors are in underperforming mood with Bank Nifty and CNX Finance with a descent momentum. And the recent deep underperforming sectors like CNX IT, CNX Pharma and CNX Reality can have a possible sector rotation in shorter term and in the process gaining momentum and could take some time to get out of underperforming Nifty.
This relative study is done using RRG Graph from Market Analyst 7. Here RRG Graph is used to study the movements of Sectors relative to CNX Nifty Index to identify under-performing and outperforming sectors (shorter term) relative to the index.
Budget 2015 event is nearing and it is time to study which is the best sector to invest. We use RRG Graph to study the Relative Study and Relative momentum with Indian sectors using S&P Nifty as benchmark index. This video tutorial will provide you interesting insights about RRG Study and it attempts to identify the strong sectors with strong momentum. And also we study we are the sector to avoid investing in the near term.