Ahead of Market: 10 things that will decide stock action on Monday
The NSE Nifty 50 index closed 0.42% lower at 19,542, while the S&P BSE Sensex fell 0.35% to 65,397. Both the benchmarks lost over 1% for the week.
Here's how analysts read the market pulse:
«On the daily charts we can observe that Nifty is trading at the crucial support zone of 19530 – 19500 where 61.82% Fibonacci retracement level of rise from 19333 – 19850 is placed.
Considering prices are trading at crucial support levels only a breach below 19500 – 19450 zone shall lead to a sharp decline. In terms of levels, 19550 – 19500 is the crucial support zone while 19640 – 19660 shall act as an immediate hurdle zone,» said Jatin Gedia, Sharekhan by BNP Paribas.
Rupak De, Senior Technical analyst at LKP Securities, said, «The current trend appears to be negative, with immediate support situated at 19,500.
A further decline below this level could potentially lead the index towards the range of 19,150 to 19,000. On the upside, the zone between 19,600 and 19,650 is expected to act as a strong resistance.
A move above 19,650 could trigger short covering in the market.»
That said, here’s a look at what some key indicators are suggesting for Monday's action:
US market:
Wall Street stocks declined Friday, as investors looked to lower their risk going into the weekend amid surging bond yields and conflict between Israel and Hamas militants in Gaza.
The Dow Jones Industrial Average lost 0.9%.
