Momentum cools after October surge; tacticians urge tighter risk

After a rapid multi-week climb, Indian benchmarks printed reversal-type candles on daily charts, prompting calls for caution. A leading chartist flagged risk of consolidation in the Nifty and Bank Nifty unless leadership broadens and volumes confirm breakouts. The framework emphasises stop-losses, selective exposure to banks and capital goods, and monitoring breadth indicators. The takeaway: momentum isn’t broken, but shorter-term traders should respect signals that often precede pauses after steep advances, especially with global yields and FX adding cross-currents.