Market Insights: US Fed Strategies, FII Trends, and Global Influences to Steer Next Week
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Mumbai, Dec 15 (NationPress) A combination of international and local factors will shape the stock market predictions for the upcoming week. On the international stage, particularly the performance of US markets and the Fed's monetary policy choices will be crucial; while local economic indicators such as GDP growth, FIIs, and inflation will impact market dynamics.
Last week, Indian stock markets concluded positively, with the Sensex and Nifty climbing nearly 3 percent from their recent lows. A widespread buying trend boosted over 40 Nifty stocks. This robust performance was fueled by a mix of improving global and local sentiments.
On Friday (the last trading session), the stock market experienced a remarkable turnaround after initially facing a significant decline. Telecom, tech, consumer durables, and IT stocks rallied strongly.
For the week, the Nifty increased by 0.37 percent to 24,768, while the Sensex rose by 0.52 percent to 82,133. This marked the fourth consecutive week of gains for the Indian stock market.
Between December 9 to December 13, Foreign Institutional Investors (FIIs) net sold Rs 226 crore in the cash market, while Domestic Institutional Investors (DIIs) bolstered the market with a net investment of Rs 2,880 crore.
Puneet Singhania, Director at Master Trust Group stated, "The Nifty 50 has adopted a bullish posture after surpassing the horizontal resistance of 24,700 and closing above it for the first time. The strong support is identified at 24,100 and 24,300, making it a critical level for traders. Purchasing is advisable around 24,300-24,400 with a stop loss at 24,100."
"On the upside, the index may target reclaiming the psychological 25,000 mark. However, if it falls below 24,100, further declines towards 23,900 could occur. The current trend suggests optimism, with opportunities for buying on dips and clear risk levels for trading management," he added.
Pravesh Gour, Senior Technical Analyst at Swastika Investmart remarked, "Banknifty continues to exhibit strong momentum, with 53,800-54,000 identified as the immediate resistance zone. A breakout above 54,000 could lead to the next resistance area at 54,350-54,500. On the downside, 53,300 serves as immediate support, with 52,600 as the next support level."
