Ahead of Market: 10 things that will decide stock action on Monday
The NSE Nifty 50 index settled 0.55% higher at 19,653, while the S&P BSE Sensex climbed 0.55% to 65,995.
Here's how analysts read the market pulse:
«Nifty ended the week with a modest gain despite the selling in the banking sector. Overall, sentiment is expected to stay positive as long as it maintains above the critical support level of 19,500, as put writers are likely to offer support at this level.
On the upside, resistance is positioned around 19,750-19,800. A strategy of buying on dips would be favorable as long as it holds above 19,500, said Rupak De, Senior Technical analyst at LKP Securities.
Jatin Gedia, Sharekhan by BNP Paribas, said, „On the daily charts, we can observe that Nifty has managed to close above the 40-day moving average (19610) which is a bullish sign.
We expect this pullback to continue till 19778 – 19800 where resistance in the form of the 50% Fibonacci retracement level and the 20-day moving average is placed. In the case of a dip towards 19530 – 19580 it should be used as a buying opportunity.“
That said, here’s a look at what some key indicators are suggesting for Monday's action:
US market
US stocks closed sharply higher on Friday with technology shares, as investors assessed Friday's jobs report that showed US hiring rose broadly in September but also that wage growth was slowing.
The S&P 500 gained 1.18% to end at 4,308 points, while the Nasdaq Composite surged 1.6%, to 13,431.
