Breakout or Correction? — 2026-04-06
NEPSE closed at 2760.02, up +83.33 points (+3.11%) from the previous close of 2676.68. The index traded between 2670.06 (low) and 2776.07 (high), opening at 2674.93.
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 (4) — bullish breadth
- ✅ 10/10 MACD above zero — bullish momentum
- ❌ More bearish (0) than bullish (0) crosses
- ✅ Top gainer NHPC has strong volume (991,508)
Correction Signals
- ✅ Limited bearish divergence
- ⚠️ Only 1/10 expanding histograms — momentum fading
- ✅ Gaining sector is broader
Key Levels
- NHPC: Support Rs. 251, Resistance Rs. 276.1
- RIDI: Support Rs. 317, Resistance Rs. 347.6
- BJHL: Support Rs. 770, Resistance Rs. 847
Verdict
Evidence tilts toward BREAKOUT — positive breadth and majority MACD above zero support upside.