NSE All Sectors Breadth Alarms Caution for Bulls
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A concerning technical structure where the NSE All Sectors market breadth is consistently forming lower highs. This divergence suggests that despite the allure of recent prices near 52-week highs for Nifty50, the market may set a bull trap, enticing optimistic buyers into a rally that actually lacks broad-based participation.
As the slope of the breadth indicator heads south, it reveals a deterioration in the internal market strength. This weakening foundation is likely to excite the bears, as the fading momentum signals a shift in control that could precipitate a broader correction.
