Market Next

MARKET OUTLOOK FOR THE WEEK: 27-02-2017

MARKET OUTLOOK FOR THE WEEK: 27-02-2017
February 26
17:33 2017

Nifty and Sensex scaled up to a multi month high last week and Nifty finally closed on Thursday at 8939.50.  India VIX which is measuring investors fear declined on Thursday by around 2.19% and closed at 13.4.  The state election results are going give a firm direction to the market in the next weeks. The March series attracted a lot of short roll-over.  Investors with high risk appetite can write long straddles on Nifty. Nifty has resistance at 8982; if this level is breached then we can see Nifty marching towards 9000 and 9117.  Support for the Nifty lies at 8861 and 8781.  Chances are very remote for the Nifty move down below 8781.

Bank Nifty closed on Thursday at 20876 it was over bought but investors made short positions in the March Series.  If there a positive trigger for the banking industry, then we can expect a sharp short covering in the Banking Nifty.  Banking Nifty has support at 20597 and 20431.  Resistance is at 21045, if this level has been take off then major buying can be expected.

IT Index has support at 10534 and front line IT stocks can be bought at declines in the early next week. IT index has resistance at 10867.  Like IT Index Nifty Metal Index is also likely to gain its lost momentum and it has resistance at 3191 and support at 3094.  Companies like Sanofi, Vesivius, Zydus Well and Nalco will come out with its quarterly earnings next week.

GDP Growth Rate, Nikkei Manufacturing PMI, Foreign Reserves data’s are due from India next week.GDP growth rate, Retail Sales, Inflation Rate, unemployment rate and Manufacturing PMI are expected next week from Euro Zone.  US GDP growth rate, Consumer Confidence, US Market Service PMI, US ISM Non-Manufacturing PMI from US is also awaited.

About Author

ALEX MATHEWS

ALEX MATHEWS

Related Articles