A bullish bearish tool that helps you see where the momentum is

If you ever bought into a sector after seeing it all over the news, only to find that the momentum faded a week later, you’re not alone. In today’s fast-moving markets, sector rotation is constant, and figuring out where the real strength lies is no easy task.

Is the rally broad-based or driven by just a few stocks? Is the sector already overbought, or just gaining steam?

Trendlyne’s Bullish Bearish Breadth helps you find these answers. It has been built to provide you with early, reliable signals on bullish/bearish sentiments and identify trends across sectors, industries, and indices early on, often before they become headline news.

Whether you’re a swing trader hoping to capitalise on stock momentum or a long-term investor timing your entry, this tool helps you stay one step ahead.

Where is the real rally?

How do you know if a sector’s rally is a sustained one?

A rally led by just a few large-cap stocks might look strong on the surface, but it can be fragile. However, when a majority of stocks in a sector are rising together, that tends to be a healthy and sustainable trend. And that’s what Bullish Bearish breadth helps you figure out.

Take the Aerospace and Defence industry as an example. This sector gained strong traction from early May to mid-June, frequently appearing in the top 10 bullish sectors on the breadth tool, whether sorted by Trendlyne’s Momentum Score or other indicators.

Thanks to this trend, the index tracking defence stocks, Nifty India Defence, is up 47% over the past quarter.

However, in the third week of June, the rally began to lose steam, and it was evident on the breadth tool as the industry dropped out of the top bullish list.

This is the kind of insight that can help you time both your entry and exit, giving you the best chance of riding the wave and reaping maximum upside.

Using the Bullish Bearish Breadth tool

Here’s a quick look at how this tool can help you invest:

Track breadth using moving averages: See the percentage of stocks in each sector trading above their 20-day, 50-day and 200-day moving averages — the most common indicators of short and long-term momentum.

Compare using multiple technical indicators: From Trendlyne’s Momentum Score, RSI, MFI, to multiple moving averages, you get a complete technical picture.

Monitor daily and weekly sentiment: Check the percentage of stocks in a sector that are up/down today or over the past week, perfect for tracking sentiment.

Choose between Equi-weighted and Market Cap-weighted: If you want to give each stock equal importance, choose Equi-weighted. If you prefer to reflect the real weight of large-cap stocks, choose Market Cap-weighted.

Select any date and view historical data: While the default view displays data for the current day, you can select any past date from the calendar to study historical trends.

Search across sectors and industries: Use the search bar to find any sector or industry instantly. Great for zooming in quickly.

Check index momentum: We’ve also added a dedicated indices section for traders and investors who want to compare major indices, such as the Nifty 50, Nifty Bank, and others. This helps you identify areas of strength in indices relative to the broader market.

And if you love spreadsheets? You can download all data with a single click using the CSV export button located just above the grid.

No more second-guessing market moves or jumping on weak rallies. With this tool, you get the data-driven confidence to stay ahead of the markets.

Try the Bullish-Bearish Breadth now and see where the market is headed.

Satyam Kumar is a senior analyst at Trendlyne.

Disclaimer: This article is sponsored content. The inputs and details accounted for in the article do not necessarily reflect the views of Mint, and Mint does not endorse or assume any responsibility for the information provided. Investing in stock markets involve financial risks, take expert advice before investing.