Leading Quadrant
11 sectors
These sectors have strong relative strength AND rising momentum vs Nifty 50. They are outperforming the benchmark and the outperformance is accelerating. These are the strongest sectors in the market — ideal for trend-following strategies. Sectors typically enter this quadrant from 'Improving' after sustained relative outperformance.
RS-Ratio: 100.79 | RS-Momentum: 101.01
Banking sector — SBI, HDFC Bank, ICICI Bank, Kotak, Axis etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Elevated 30-day annualized volatility of 35% — higher risk.
RS-Ratio: 103.85 | RS-Momentum: 103.90
Fast Moving Consumer Goods — HUL, ITC, Nestlé, Dabur, Britannia etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Strong 1-month return of +6.5% shows near-term strength.
- Outperforming NIFTY 50 by +4.0% over the past month.
RS-Ratio: 101.38 | RS-Momentum: 102.70
Public Sector Banks — SBI, PNB, Bank of Baroda, Canara Bank etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Positive returns across both 1M and 3M timeframes show sustained momentum.
- Elevated 30-day annualized volatility of 39% — higher risk.
RS-Ratio: 103.04 | RS-Momentum: 101.07
Real Estate — DLF, Godrej Properties, Oberoi Realty, Brigade etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Strong 1-month return of +9.9% shows near-term strength.
- Significantly off 52-week high (-22.7%) — potential value zone or structural weakness.
- Outperforming NIFTY 50 by +7.4% over the past month.
- Elevated 30-day annualized volatility of 38% — higher risk.
RS-Ratio: 103.36 | RS-Momentum: 103.30
Media & Entertainment — Zee, Sun TV, PVR INOX, Saregama etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Strong 1-month return of +7.5% shows near-term strength.
- Positive returns across both 1M and 3M timeframes show sustained momentum.
- Outperforming NIFTY 50 by +5.0% over the past month.
- Elevated 30-day annualized volatility of 31% — higher risk.
RS-Ratio: 103.84 | RS-Momentum: 104.30
Energy — Reliance, ONGC, NTPC, Power Grid, BPCL, IOC etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Strong 1-month return of +10.4% shows near-term strength.
- Positive returns across both 1M and 3M timeframes show sustained momentum.
- Trading near 52-week high (+0.0% from peak) — strong relative positioning.
- Outperforming NIFTY 50 by +7.9% over the past month.
RS-Ratio: 100.87 | RS-Momentum: 101.93
Infrastructure — L&T, Adani Ports, UltraTech, Bharti Airtel etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Positive returns across both 1M and 3M timeframes show sustained momentum.
RS-Ratio: 102.14 | RS-Momentum: 102.10
Commodities — ONGC, Coal India, Tata Steel, UPL, Hindalco etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Strong 1-month return of +7.4% shows near-term strength.
- Positive returns across both 1M and 3M timeframes show sustained momentum.
- Trading near 52-week high (+0.0% from peak) — strong relative positioning.
- Outperforming NIFTY 50 by +4.9% over the past month.
RS-Ratio: 103.26 | RS-Momentum: 103.37
Multinational Corporations — Maruti, HUL, Siemens, ABB, Honeywell etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Strong 1-month return of +8.5% shows near-term strength.
- Positive returns across both 1M and 3M timeframes show sustained momentum.
- Trading near 52-week high (-0.2% from peak) — strong relative positioning.
- Outperforming NIFTY 50 by +6.0% over the past month.
RS-Ratio: 102.02 | RS-Momentum: 102.00
Public Sector Enterprises — NTPC, Coal India, BEL, HAL, ONGC etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Strong 1-month return of +6.3% shows near-term strength.
- Positive returns across both 1M and 3M timeframes show sustained momentum.
- Trading near 52-week high (+0.0% from peak) — strong relative positioning.
- Outperforming NIFTY 50 by +3.8% over the past month.
RS-Ratio: 100.28 | RS-Momentum: 100.10
Financial Services — Banks, NBFCs, Insurance, AMCs etc.
- Sector is in the Leading quadrant — both relative strength and momentum vs NIFTY 50 are above average.
- Price is below key moving averages — bearish structure.
- Elevated 30-day annualized volatility of 34% — higher risk.
Improving Quadrant
2 sectors
These sectors have rising momentum but relative strength is still below average. They were previously underperforming but are now gaining ground. This is where early opportunities emerge — sectors moving from Lagging to Improving are showing signs of a turnaround. If momentum sustains, they will rotate into the Leading quadrant.
RS-Ratio: 99.54 | RS-Momentum: 100.59
Automobile & ancillaries — M&M, Tata Motors, Maruti, Bajaj Auto etc.
- Sector is in the Improving quadrant — momentum is picking up though relative strength is still below NIFTY 50.
- Price is below key moving averages — bearish structure.
- Elevated 30-day annualized volatility of 41% — higher risk.
RS-Ratio: 99.80 | RS-Momentum: 102.40
Pharmaceuticals — Sun Pharma, Dr. Reddy's, Cipla, Lupin, Divis Labs etc.
- Sector is in the Improving quadrant — momentum is picking up though relative strength is still below NIFTY 50.
- Price is below key moving averages — bearish structure.
- Negative returns across both 1M and 3M periods — persistent weakness.
- Underperforming NIFTY 50 by -3.3% over the past month.
Weakening Quadrant
1 sector
These sectors still have above-average relative strength but momentum is declining. They were previously leading but are starting to lose steam. This is a caution zone — while still relatively strong, the deceleration suggests the best of the move may be over. Without a momentum reversal, they will rotate into Lagging.
RS-Ratio: 101.71 | RS-Momentum: 99.03
Metals & Mining — Tata Steel, JSW Steel, Hindalco, Vedanta etc.
- Sector is in the Weakening quadrant — while relative strength is still above average, momentum is fading.
- Price is below key moving averages — bearish structure.
- Strong 1-month return of +10.9% shows near-term strength.
- Positive returns across both 1M and 3M timeframes show sustained momentum.
- Trading near 52-week high (+0.0% from peak) — strong relative positioning.
- Outperforming NIFTY 50 by +8.4% over the past month.
- Elevated 30-day annualized volatility of 31% — higher risk.
Lagging Quadrant
2 sectors
These sectors have weak relative strength AND declining momentum. They are underperforming the benchmark and the underperformance is worsening. These are the weakest sectors — best avoided for fresh longs. However, when momentum starts improving (rotation toward Improving), it can signal a bottoming process.
RS-Ratio: 96.35 | RS-Momentum: 92.37
Information Technology — TCS, Infosys, Wipro, HCL Tech, Tech Mahindra etc.
- Sector is in the Lagging quadrant — both relative strength and momentum are below NIFTY 50.
- Price is below key moving averages — bearish structure.
- Significantly off 52-week high (-22.8%) — potential value zone or structural weakness.
RS-Ratio: 99.76 | RS-Momentum: 99.17
Services Sector — IT, Financial Services, Telecom, Hospitality etc.
- Sector is in the Lagging quadrant — both relative strength and momentum are below NIFTY 50.
- Price is below key moving averages — bearish structure.