The market witnessed rangebound movement in the week ended May 14 amid mixed global as well as domestic cues. Last week, BSE Sensex fell 473.92 points (0.96 percent) to end at 48732.55, while the Nifty50 declined 145.35 points (0.98 percent) to close at 14677.8 levels. Here's what the experts have to say about this week:
2/9
Rohit Singre, Senior Technical Analyst at LKP Securities | Supports are still placed at 14600-14500 zone. Holding above the said levels may see some extension in current pullback towards the strong hurdle zone of 14800-14950 zone where one can lock in their profits.
3/9
Ashis Biswas, Head of Technical Research at CapitalVia Global Research | As of now, the short-term technical condition of the market suggests a sideways correction is in the process. While it is subject to further price action evolution. It is prudent to wait for a decisive breakout above 14800 and technical factors to improve before going long in the market. The traders to refrain from building a fresh buying position until further improvement is seen and breakout above 14800.
4/9
Rusmik Oza, Executive Vice President, Head of Fundamental Research at Kotak Securities | The global correction and potential impact of commodity prices on this quarter’s earnings can lead to some kind of correction in Indian markets in the very near future.
Ajit Mishra, VP - Research, Religare Broking | In absence of any major event, participants will be closely eyeing the performance of global indices, US bond yields, movement of rupee against the US dollar and crude oil prices. Needless to say, COVID-related updates and progress of the vaccine drive will also be in focus. In case of further decline, Nifty would find support around 14,300-14,400 zone while 15,000 continue to act as the crucial hurdle. The broader indices, which have been consistently outperforming, may also see some profit-taking. Thus, we advise maintaining extra caution in the selection of stocks and managing overnight risk.
6/9
Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities | The broader texture of the market is still bullish but due to weak global market conditions market may consolidate in the range of 14500 -14800/48200 - 49200 in the near future. 14590/48470 should act as a strong support level for traders, below the same, correction wave likely to continue up to 14500/48200. Further downside may also continue which could drag in the index up to 14390/47800. On the flip side, 14800/49200 should be the sacrosanct level for the bulls above the same uptrend wave likely to continue up to 14950-15100. /49750-50100.
7/9
Nirali Shah, Head of Equity Research, Samco Securities | Indian indices have shown sturdiness despite increasing COVID cases, however, sustainability at higher levels seems difficult if the situation aggravates. In addition, this fear of inflation flourishing in developed markets may continue to trickle down to India and keep our bourses under pressure. Stock specific volatility due to quarterly earnings cannot be ruled out. And going ahead, investors are advised to keep the company’s future guidance in mind before investing in stocks.
8/9
Shibani Kurian, Senior EVP & Head- Equity Research, Kotak Mahindra Asset Management Company | Going forward, the market will likely track the pace of vaccinations, the trajectory of active cases curve and management commentary of companies. Roll-back of localised lockdown and trend of inflation in many global commodities like crude oil and steel will be other key factors to watch-out by investors.
Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services | With daily COVID cases not subsiding below 3 lakh and deaths continuing to be high, many states are extending the localized lockdown/curbs. The fear of national lockdown continues to loom in the market. Q4 FY21 earnings are healthy so far but management commentaries have turned cautious, resulting in more downgrades. The state-level restrictions along with surging commodity prices have weakened the FY22E earnings visibility. Thus markets are likely to continue with its rangebound movement with wide spells of volatility.
