The market closed the previous week at a new 13-week closing high indicating that the current market sentiment remains robust. The Nifty is currently hovering the 2-year high level of 5400, a decisive move above these levels could result in Nifty rallying towards 5750 levels.
The market would be keenly watching the IIP data that is scheduled for release on Monday. While a positive number could propel the market higher, any negative surprise would hit the market sentiment.
The market would also be keenly looking at the monthly WPI inflation data and a fall in the inflation would help further reduce the concerns of more rate hikes before the RBI policy review meeting.
The market would closely watch the first quarter results season to witness if the current earnings growth momentum indicate any further upside in the market. Stock specific movements would be witnessed based on the results.
The market would keenly follow the outcome of the meeting of PSU refineries regarding the fuel price norms that is scheduled for July 17th and Oil & Gas space is expected to witness increased activity.
With Agriculture Minister pitching the decontrol of sugar prices, sugar related companies are expected to witness activity during the week to come.
The market is expected to continue to take cues from the global market and FII inflows. On the global front, the market would watch the US industrial production, jobless claims, etc to ascertain if the economy is on the sustained recovery path.
5277, 5210 and 5182 are the immediate support levels for Nifty, 5400, 5500 and 5545 are the immediate resistance levels for the Nifty.
17536, 17396 and 17277 are the immediate support levels for Sensex, 18048, 18274 and 18593 are the immediate resistance levels for the Sensex.
The market is expected to rally further once the Nifty decisively crosses the 5400 levels.