InvestorQ : What are the major trading cues that you expect in the week starting on 31 August? Do you see any specific investment signals?
Dilmini Mercia made post

What are the major trading cues that you expect in the week starting on 31 August? Do you see any specific investment signals?

Answer
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diksha shah answered.
4 weeks ago


The coming week is likely to be driven by the following key triggers and you can use them to position your trades accordingly.

· New Fed Policy Framework hints at low rates sustaining for 3-5 years and that is likely to hold the markets positive in the coming week.

· Reliance and Future deal finally happened over the weekend and that could be a big positive deal for Future group in particular and retail sector in general.

· Core sector numbers are expected on 31 August and markets will be keen to see if the momentum to recovery is sustained for July month.

· On the auto front, markets will watch if the positive cues extend beyond the tractors and entry-level vehicles segment

· GDP for Jun-20 quarter to be announced on Aug 31 and while contraction is a given, markets will look for cues on Q2 growth and full year growth.

· Big earnings releases the week include ONGC, NALCO, Coal India, GMDC, NHPC, Zuari Agro and NLC India

· With Coronavirus still aggregating 70,000 per day, progress on the COVID vaccine assumes additional importance in the midst of the unlocking.

· FIIs infused Rs.45,000 crore during August and that is indicative of positive FII sentiments sustaining in September too.

· INR strengthened to a 5-month higher of 73.13/$ helped by FPI flows and dollar strength in the last few months.

· VIX subdued at 18.25 levels puts limits on the downside risk to the markets as any dip is likely to be met with buying

· Markets will look for global triggers like the US PMI, Jobless Claims, non-farm payrolls, Euro PMI, Japan IIP and China PMI for growth cues.

Overall, the coming week is likely to sustain positive momentum.




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4 weeks ago


To me the big uncertainty remains the outcome of the AGR case, where the Supreme Court is expected to deliver the judgment this week. Hopefully, that should be long term favorable for telecom and the banking sector.


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Dinesh C Nagpal answered.
4 weeks ago


Nifty if it manages to sustain above 11710 can rally 12000-12100. On the downside, if it breaches and sustains above 11600 it could retest 11350. Bank Nifty has resistance at 24600, sustaining above it will take it to 25000 at least while on the downside breach of 24100 might take it back to 23500 levels at least. USDINR which crashed last week has support now at 72.75