When Nifty Realty index hits a new 52-week high, the next positive rally shall aim at setting a new all-time high
By booking profits and staying away from the market, investors can avoid potential losses and capitalise on future price fluctuations that may occur, said the technical analyst
Index moved in 4% band, against three-year average of 8%
The Nifty Realty Index could face stiff resistance in the range of 445 to 457 levels.
If Nifty realty index succeeds to break through its 200-DMA, technically the bullish push may trigger further upside in realty stocks.
The pause, even if temporary, in the interest rate cycle is a positive development for the real estate sector and should see an increase in home-buying
This move would provide further boost to the affordable and mid-income housing segments, analysts said
The short-term bias for Nifty Midcap 50 index is likely to remain negative as long as the index remains below 8,786.
The technical analyst also expects a pullback in the Nifty Pharma index.
The technical analyst also advices to avoid media stocks for now, as the Nifty Media index could side to 1,631 level.
Realty index may slip up to 7 per cent if stays beneath 400 level
Among the realty pack, Indiabulls Real Estate trades in a bear grip, while Brigade and Phoenix Mills may see an upside of 14 per cent.
Real estate and automobiles, which were showing signs of a nascent recovery, will bear the brunt of higher interest rates
Going forward, the ability of developers to show growth on a high base of FY22 sales, and management of a weak macroeconomic environment along with rising interest rates would be the key monitorables
After a decade of downtrend, rising investments in industrial and household segments, and sustained demand have brightened the outlook for the real estate sector. How should investors play the theme?
Over the last one year, developers' average cost of construction has risen 10 - 12 per cent, owing to higher input cost due to supply-side constraints
Nifty Auto, Nifty Realty, Nifty Bank, Nifty Private Bank, Nifty PSU Bank and Nifty Financial Services indices were down in the range of 4 per cent to 5 per cent on the NSE.
Despite the over 10 per cent correction from its 52-week high, the BSE Realty index has outperformed the market by surging 57 per cent thus far in the calendar year 2021
At 01:05 pm, the S&P BSE Realty index, the top gainer among sectoral indices, was up 4.7 per cent
The Nifty Realty Index can soar up to 15% on hopes of a strong demand for housing this festive season