Market Next

MARKET OUTLOOK FOR THE WEEK:13-03-2017

MARKET OUTLOOK FOR THE WEEK:13-03-2017
March 12
16:18 2017

Despite marginal uptick in the world markets our market moved in a very narrow range.  On Friday we saw firm opening on Nifty but profit booking caused heavy sell-off.  Monday markets will be closed due to “HOLI”.  We can expect a firm opening on Tuesday after the stunning performance of NDA in the recent elections especially in UP elections.  Nifty can open above 9000 and can test 9074 and later it can move towards 9150 to 9200 levels.  But investors should take caution at higher levels because of a possible rate hike in US on FED meeting which is slated to be on 15th of March.  The latest macro data’s on US nonfarm payroll which have increased by 2,35,000 in February; the number was exceedingly well above the analysts estimates of 1,90,000.  There are possibilities of further interest rate hikes at least 3 times in the year 2017  will keep the commodity market and equity markets across the globe under nervous.  Nifty has support at 8883 and 8750.  Investors can create long positions on Nifty if the Nifty opens on Tuesday at a marginal gap up.   If Nifty opens above 9000 then it is prudent to stay sidelines.  

Banking Nifty is having resistances at 21146 and 21270. Bank Nifty has support at 20580 and 20414.   As the technical indicators are not very strong it is prudent to book profits at higher levels on Tuesday morning itself.  Like Banking Nifty Metal index is also looks weak, gap up opening can be used to reduce long positions.  OMC stocks will be under pressure due to weak crude oil prices.  India VIX lost nearly 3% on Friday and it closed at around 13 indicating slightly positive outlook for Nifty.

Next week India’s macro data’s like Inflation rate, WPI manufacturing YOY, WPI Inflation YOY and Balance of trade are due.  Core inflation rate , US FOMC economic projection and Manufacturing Production data’s are expected next week from US.

About Author

ALEX MATHEWS

ALEX MATHEWS

Related Articles