Ahead of Market: 10 things that will decide D-Street action on Monday
equity indices closed higher on Friday, but logged their worst week in eight as concerns over the outcome of ongoing national elections and selling by foreign investors weighed on sentiment.
The bluechip NSE Nifty 50 was up 0.44% at 22,055 points, while the S&P BSE Sensex advanced 0.36% to 72,664, at the close.
Here's how analysts read the market pulse:
«On the daily chart, the index has broken down from the rising channel, indicating a rise in bearish sentiment. The trend is likely to remain weak in the near term, with resistance noted at 22,200. As long as the Nifty remains below this level, a strategy of selling on rallies may be favorable for traders. Support at the lower end is situated at 21,950 on a sustained basis; a decisive drop below this level could trigger panic in the market,» said Rupak De, Senior Technical Analyst at LKP Securities.
Tejas Shah, Technical Research, JM Financial & BlinkX, said, «We need to wait and watch till the high (22,131) or low (21,950) of Friday’s daily candle is taken out for further direction on Nifty in today’s trading session. Support for the index is now seen at 21,950-22,000 and 21,700-800 levels. On the higher side, the immediate resistance zone for Nifty is at 22,200-250 levels and the next resistance is at 22,500 Mark. Overall, the trend remains negative.»
That said, here’s a look at what some key indicators are suggesting for Monday's action:
US market
US stocks eked out modest gains on Friday and all three indexes posted another weekly advance as investors parsed
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