Sectoral Rotation Graph (RRG) for India — How to Read & Trade NIFTY Sectors

By Jiten Patel · Updated June 2026 · 8 min read

If you trade Indian stocks, you already know that sector rotation drives most of the market. When NIFTY IT leads, individual IT stocks rally 15-20%. When it rotates to Metal, the IT stocks stall. The problem is figuring out which sector is about to lead next — before the move happens.

That is exactly what a Relative Rotation Graph (RRG) shows you. It is a single chart that plots all 20 NIFTY sectoral indices on four quadrants, with trailing tails showing where each sector has been and where it is headed.

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What is a Relative Rotation Graph?

An RRG was invented by Julius de Kempenaer in 2004 and popularized by StockCharts.com. It plots two values for each sector:

The benchmark (NIFTY 50) always sits at the centre point (100, 100). Every sector rotates clockwise through four quadrants over time — this is the natural cycle of sector rotation.

The Four Quadrants Explained

Leading (Top-Right)

RS-Ratio > 100, Momentum > 100. The sector is outperforming NIFTY and getting stronger. This is where you want to be long.

Weakening (Bottom-Right)

RS-Ratio > 100, Momentum < 100. Still outperforming but momentum is fading. Leaders losing steam — tighten stops.

Lagging (Bottom-Left)

RS-Ratio < 100, Momentum < 100. Underperforming with falling momentum. Avoid or short.

Improving (Top-Left)

RS-Ratio < 100, Momentum > 100. Still underperforming but momentum is turning up. Early entry opportunity — the next leaders are here.

The key insight: sectors in the Improving quadrant that are curving toward Leading are your best opportunities. You are buying before the crowd notices.

How to Trade Sector Rotation in India

Step 1: Identify sectors moving from Improving to Leading

Open SpikeDesk's Sectoral RRG and look for sectors in the top-left (Improving) quadrant with tails pointing toward the right. These are gaining momentum and about to cross into Leading.

Step 2: Pick the heavyweight stocks in that sector

Click any sector on SpikeDesk to drill into its constituent stocks. Focus on the top 3-5 stocks by index weight — they move the index and tend to lead the rotation.

Step 3: Confirm with delivery data

This is where SpikeDesk is unique. Before entering, check Market Pulse to see if the sector shows rising delivery accumulation. High delivery percentage + improving RRG momentum = institutional money flowing in. That is your confirmation to enter.

Step 4: Exit when the sector enters Weakening

When your sector crosses from Leading to Weakening (momentum drops below 100 while RS-Ratio is still high), it is time to book profits. The sector is still outperforming but the momentum party is ending.

SpikeDesk RRG vs Other Tools

FeatureSpikeDeskStockChartsTradingViewStockMojo
Indian sectors20 NIFTY sectorsUS onlyCommunity script18 sectors
Free100% freePaidLimited freeFree
Delivery data overlayYes — uniqueNoNoNo
Live mode with daily %YesNoNoNo
Drill into sector stocksYesYesNoNo
Sector Ignition ScannerYes — uniqueNoNoNo
AI path predictionYesNoNoNo

SpikeDesk is the only tool that combines RRG with delivery-based accumulation data. You see where a sector is rotating AND whether smart money is actually buying. No other tool does this.

What Makes SpikeDesk's RRG Different

Sector Ignition Scanner: SpikeDesk's Market Pulse includes an Ignition Scanner that predicts which sector will move 1-2 days before it happens. It combines heavyweight stock accumulation, delivery compression, and breakout pattern density to score each sector 0-100.

Today's Sector Movers: The RRG page shows a live heatmap of today's sector performance alongside the 14-day rotation view. So you see both the structural trend (RRG) and today's action in one place.

Stock-level drill-down: Click any sector to see all its constituent stocks plotted on a mini-RRG. Find the specific stocks leading the rotation, not just the sector index.

Common Mistakes to Avoid

Frequently Asked Questions

Is RRG good for intraday trading?
RRG is best for swing and positional trades (1 week to 3 months). The data uses daily closes, so intraday moves are filtered out. Use it to pick which sector to focus on, then use intraday tools for entries.
How often does sector rotation happen in India?
A full rotation cycle typically takes 4-8 weeks. Sectors spend 1-3 weeks in each quadrant. During strong trends like a rally, some sectors can stay in Leading for months. The key is catching the transition from Improving to Leading.
Which timeframe is best for RRG — daily or weekly?
Weekly RRG shows structural rotation for positional traders. Daily RRG helps time entries. Start with weekly to identify leaders, then switch to daily to find entry points. SpikeDesk uses 14-day daily data by default, which works well for swing trades.
Can I use RRG for individual stocks, not just sectors?
Yes. On SpikeDesk, search any NSE stock to plot it on the RRG alongside sectors. You can also click any sector to drill into its constituent stocks and see which ones are leading the rotation within that sector.
Is SpikeDesk's RRG free?
Yes, 100% free. No paid tier, no trial limits. Just open spikedesk.com/rrg and start analyzing. All 20 NIFTY sectoral indices with live mode, AI path prediction, and stock-level drill-down included.

Start Using Sectoral RRG Today

Sector rotation is the single biggest driver of stock performance in India. If you pick the right sector, even an average stock in that sector outperforms. RRG gives you the map — SpikeDesk gives you the map plus the delivery data to confirm whether smart money agrees.

Free Sectoral RRG — 20 NIFTY Sectors, Live Data, AI-Enhanced

No signup required. Open the chart and start analyzing right now.

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Related: Market Pulse · P&F Charts · 52-Week Scanner · Stock Lookup · Breakout Scanner · Delivery % Guide