Global factors like international crude oil prices, US Fed policy actions and the domestic fourth quarter earnings will set the course for the stock market next week after the volatility index tumbled more than 4% this week.
Despite starting this week on positive note, negative sentiment prevailed in the mid-week largely on account of ultra-hawkish comment by the US Fed and strengthening economic sanctions on Russia.
The volatility rose further on Friday due to RBI credit policy, though it maintained status-quo and continued with the supportive stance.
Technically, on a weekly chart, the index has formed a Doji candlestick which shows indecisiveness among the trades.
Moreover, the index has also faced a resistance from falling trend lines and showed profit booking from higher levels.
However, the index has taken support from the previous horizontal line & closed above 21-days Simple Moving Averages that indicates further pullback rally in the near term.
The momentum indicator STOCHASTIC is trading with positive crossover on daily charts that suggest upside strengths.
Overall, the Nifty index is having strong support at 17550 marks while on the upside 18,000/18,100 may act as an immediate resistance for the index.
Top gainers
NTPC: NTPC share price rises on improved power demand. Also the company reported a highest ever annual electricity generation of 360bn units.
Hero Motocorp: Hero Motocorp share prices rises mainly on account of better than expected sale data for the month of Mar. 2022. On M-o-M basis, sales volume increased by 25.7 percent.
Adani Ports: Adani Ports share price raises after it reported to have achieved a historical milestone by handling 300MT of goods in FY'22.
Grasim Industries: Mainly on signing a letter of intent with Renewcell Inc. for large scale circular fiber production, the company’s share price witnessed positive traction.
Top losers
Infosys/Tech Mahindra/ TCS: Major IT stock witnessed negative share price movement mainly on account of flat to moderate Q4 earnings expectations and margin concerns.
(Sumeet Bagadia is Executive Director, Choice Broking)
