Mumbai: Dalal Street is likely to witness
volatile trade this week and seek direction from global
markets in the absence of any major domestic trigger, believe
analysts.
Marketmen believe the market sentiment is likely to
remain bullish even as investors will remain cautious ahead of
the settlement in the domestic derivatives segment.
"The market is expected to dance to the global tunes this
week. It would remain volatile and as we approach the
settlement day it would move up further," Unicon Financial
Chief Executive Gajendra Nagpal said.
Analysts believe that underlying strength is still there
in the market, but absence of any major domestic trigger
would make it look towards the global markets for direction.
"Market would trade with upward bias as ample liquidity
would keep the market buoyant. There would be substantial
recovery after every downside," Ashika Stock Brokers Research
Head Paras Both said.
The domestic markets stretched their weekly run of gains
to three in a row. The Bombay Stock Exchange benchmark Sensex
gained 173 points to settle at 17,021.85, while the NSE's
Nifty index settled at 5,052.45 points.
"The market would trade in the range of 4,900-5,100 this
week. There would be flat opening on Monday as it is
difficult to predict a direction amid uncertain global
markets," Taurus Mutual Fund Managing Director RK Gupta
said.
The November contract of the futures and options (F&O)
segment would settle on Thursday.
On Friday the global markets closed in the red in the
range of 0.31-1.33 percent. The Wall Street ended in the
negative terrain with Dow Jones Industrial Average ending
0.14 percent down at 10,318.16 and tech heavy Nasdaq at
2,146.04, down 0.50 percent.
Analysts believe institutional buying would propel
liquidity in the market this week.
"Long term money is coming in the market as institutional
investors money would keep the market active. Retail investors
are, however, betting money in derivatives segment," Nagpal
said.
PTI
First Published: Sunday, November 22, 2009, 12:57