Ahead of Market: 10 things that will decide D-Street action on Monday
Stocks of IT companies, which earn a significant share of their revenue from the US, climbed 5.07%, their best week in 16 months.
Here's how analysts read the market pulse:
«Considering the sharp rise in the previous couple of trading sessions and the Nifty reaching crucial resistance levels, short-term consolidation is likely. On the downside, 19,630 – 19,600 is the crucial support zone to watch out for and in case of a dip this zone is crucial to hold on for the uptrend to continue,» said Jatin Gedia of Sharekhan.
Rupak De, LKP Securities said, «Nifty has largely traded within a range, showing a predominantly bullish sentiment.
Over the past two to three days, a 'buy on dips' approach has been loved by the street since the Nifty crossed the crucial 19,500 mark. The trend is expected to stay positive as the Nifty consistently concludes trading sessions above the critical moving averages.
Support levels are situated at 19,630/19,500 on the lower end, while resistance is placed at 19,850/ 20,000 on the higher end.»
That said, here’s a look at what some key indicators are suggesting for Monday's action:
US market
Wall Street stocks concluded a positive week on a benign note Friday, shrugging off early losses and extending a rally amid hopes a slowing US economy will avert a recession.
Major indices secured a third straight week of gains after benign inflation data earlier in the week boosted expectations that the Federal Reserve will not enact additional interest rate increases. The broad-based S&P 500 ended at 4,514.02, up 0.1 percent for the day and 2.2 percent for the week.
The Dow Jones Industrial Average eked out a gain of less than 0.1 percent at 34,947.28, while the tech-rich Nasdaq Composite Index added 0.1
