History shows momentum rallies lift Nifty 25% in 134 days; will it repeat?

Based on the average gain and duration of the past momentum-driven rallies, the NSE Nifty 50 can potentially rally past the 23,000-mark by January 2024.

Despite concerns over stretched valuations, high interest rate regime, and slowdown in global economy, the equity markets have been on a roll off late. The S&P BSE Sensex and NSE Nifty 50 have notched up record highs and were quoting above the 67,000-mark and 19,800-level in early deals on July 19.

The NSE Nifty 50 has rallied almost 5 per cent ever since the 50-share index conquered its December 01, 2022, summit of 18,887.60 on June 28, 2023. In the last 14 trading sessions, the NSE benchmark has registered a new peak on 10 occasions.

Notably, the markets have witnessed