Market Next Week: The upcoming week will be crucial for the domestic stock markets, as second-quarter earnings, the US government shutdown, the FOMC report and other key economic data will determine the market trend. From next week, companies will start announcing their financial results for the July-September quarter (Q2).
Tata Consultancy Services (TCS) and Tata Elxsi are scheduled to release their September quarter results on October 9.
Meanwhile, the IPO market will also attract investor attention as Tata Capital’s IPO is set to open next week, while updates on LG Electronics’ IPO could also influence market sentiment.
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The minutes of the US Federal Open Market Committee (FOMC) will be released, detailing discussions regarding interest rate decisions during its meeting on September 16-17.
Global investors are keeping a close eye on the US government shutdown, which is likely to continue into next week amid a funding standoff between Democrats and Republicans.
Commenting on the technical outlook, analysts said Bank Nifty on the weekly timeframe is holding firmly above the 20-week EMA, which indicates continued strength and lends support to the broader bullish trend.
“If selling pressure re-emerges and the index decisively breaks below 55,140, further downside towards 55,000 and 53,832 (200-day EMA) may unfold. On the upside, immediate resistance is placed at 55,850, followed by 56,000 and 56,400,” analysts added.
“On the daily timeframe, Nifty found strong support near the 24,600 zone and rebounded higher, posting two consecutive green candles, which reflects renewed buying interest and improving sentiment,” they added.
Meanwhile, Indian stock markets performed well last week. The Nifty rose 239 points, or 0.97 per cent, to close at 24,894, while the Sensex rose 780 points, or 0.97 per cent, to close at 81,207.
Between September 29 and October 3, the Nifty PSU Bank index topped the sectoral charts with a gain of 4.43 per cent, followed by Nifty Metal (up 3.93 per cent), Nifty Private Bank (up 2.53 per cent), Nifty Media (up 1.87 per cent) and Nifty PSE (up 2.77 per cent).
Buying interest was also seen in the mid-cap and small-cap segments. The Nifty Midcap 100 index rose 1,124 points, or 2 per cent, to close at 57,503, while the Nifty Smallcap 100 index gained 317 points, or 1.81 per cent, to close at 17,787.
With IANS Inputs
