Is NEPSE breaking out or correcting? Index at 2647.22 (+22.86 pts). 0/0 MACD above zero, breadth 1.00 A/D ratio. Breakout and correction signals analyzed.
Breakout or Correction? — 2026-09-18
NEPSE closed at 2647.22, up +22.86 points (+0.87%) from the previous close of 2624.36. The index traded between 2614.12 (low) and 2647.48 (high), opening at 2626.83.
Is today's NEPSE action a sign of breakout momentum or a correction? Let's analyze the evidence.
Breakout Signals
- More losers (20) than gainers (20) — bearish breadth
- Only 0/0 MACD above zero — weak momentum
- More bearish (0) than bullish (0) crosses
- Top gainer SNORL has strong volume (76,529)
Correction Signals
- Limited bearish divergence
- 0 expanding — momentum intact
- Gaining sector is broader
Key Levels
- SNORL: Support Rs. 918.2, Resistance Rs. 1057
- ILBS: Support Rs. 930, Resistance Rs. 1065
- MKJC: Support Rs. 292.8, Resistance Rs. 326.9
Verdict
NEUTRAL — mixed signals suggest consolidation rather than a clear directional move.