Is NEPSE breaking out or correcting? Index at 2788.70 (+1.54 pts). 60/337 MACD above zero, breadth 1.05 A/D ratio. Breakout and correction signals analyzed.
Breakout or Correction? — 2026-04-24
NEPSE closed at 2788.70, up +1.54 points (+0.05%) from the previous close of 2787.15. The index traded between 2759.55 (low) and 2795.98 (high), opening at 2795.22.
Is today's NEPSE action a sign of breakout momentum or a correction? Let's analyze the evidence.
Breakout Signals
- More gainers (20) than losers (19) — bullish breadth
- 9/9 MACD above zero — bullish momentum
- More bearish (0) than bullish (0) crosses
- Top gainer MKHL has strong volume (13,456)
Correction Signals
- 8 stocks show RSI bearish divergence
- Only 2/9 expanding histograms — momentum fading
- More stocks in declining sector (HYDROPOWER: 13) than gaining (HYDROPOWER: 9)
Key Levels
- MKHL: Support Rs. 600, Resistance Rs. 724.5
- PCIL: Support Rs. 886.2, Resistance Rs. 971.4
- SIPD: Support Rs. 840.1, Resistance Rs. 920.1
Verdict
Evidence tilts toward BREAKOUT — positive breadth and majority MACD above zero support upside.