Dalal Street Week Ahead | Stocks and Commodities

May 14, 2016
Time: 7 pm

Dalal Street Week Ahead:

1. Last week Nifty was up by 1%.
2. But markets were highly volatile trough out the week.
3. Global cues are dragging the markets.
4. IIP data and Inflation data also dragged the markets on Friday down.
5. On Friday US markets were down.
6. On Saturday morning China manufacturing data came and it was not good.
7. On Friday markets fell suddenly in the morning due to P Note scare.
8. At end of the day FIIs and DIIs were net buyers in Cash market.
9. They have bought for Rs 2100 crores which is equivalent to Eicher promoter selling.
10. If we exclude this Eicher promoter selling, effectively there was no buying or selling by institutions in Cash market.
11. Yet Nifty fell 85 points at the end of the day and fell more than 120 points intraday.
12. On Monday, Asian markets as well as our markets are likely to fall further.
13. Asian markets are falling continuously for more than 2 weeks.
14. Many markets have fallen more than 10%.
15. Bank of Baroda has come out with very bad results, last time when they came out with very bad results they said that the worst was over.
16. By looking at this results, it does not look like the worst is over.
17. On Monday, our markets will be reacting to bad results from Bank of Baroda, bad global cues and WPI Inflation data to be released during the market hours.
18. On Tuesday, markets will be reacting to exit poll results of 5 state assembly elections.
19. Anyway BJP is not expected to make any difference in any state except Assam.
20. So any reaction in the markets will only be marginal.
21. On Wednesday, Punjab National Bank results will influence the markets.
22. On Thursday, Lupin will declare results.
23. On Friday, ITC results is a key event to watch.
24. "Sell in May and Go away" seems to be working for the world markets.
25. Our market is trying to move higher but facing selling pressure on every rise.
26. I still believe that Nifty will be trading between 7700 and 8000 until the end of this month.
27. If there are more good news from monsoon front and global cues improves, then only our markets will move higher.
28. If global cues continue to be bad, then we can expect markets to move higher only in June.
29. Bank Nifty has started coming down, any good results from SBI only can turn the Bank Nifty.
30. Otherwise Bank Nifty will face stiff resistance at 17000.
31. Most Banks fell on Friday, but Yes Bank out performed as it was included in MSCI Index.
32. On expiry day of April series on April 28, Nifty fell from 7980 to close at 7847.
33. Even after more than two weeks Nifty is not able to recoup that one day loss.
34. Four and half months over in 2016, still Nifty return this year is negative.
35. Let us hope that good monsoon can change the things.