InvestorQ : What do you think are the major stock market triggers for the coming week starting on 26 July 2021?
Arusha Ray made post

What do you think are the major stock market triggers for the coming week starting on 26 July 2021?

diksha shah answered.
1 year ago

Here are some of the major stock market triggers and cues that you need to watch out for in the coming week.

· The market is likely to show reaction to two major events. First, it is likely to react to the week end results announced for RIL, ITC and ICICI Bank. In addition, the Zomato listing at 55% premium will also be watched for the psychological Rs.1 trillion market cap breach.

· Major Q1 results this week include Axis Bank, Kotak Bank, L&T, DLF, Tata Motors, SBI Life, Dr. Reddy, Maruti, IOCL, Sun, Britannia. Focus will shift to banks which have done worse than the Nifty and markets will look to signals from ICICI Bank and HDFC Bank.

· F&O expiry on Thursday could see the VIX levels spike up to 15-16 on expiry concerns. The bigger area to focus will be rollovers of mid-caps where there are a lot of concerns due to the rally and the F&O market could show first signs of pressure.

· COVID may be subdued but not out. However, with 42.78 crore vaccines administered and 97.36% recovery rate, we could see COVID cases receding further. Globally, the focus will be on FOMC meet on 27-28 July for language, though rates may hold on.

· In the midst of the IPO mania, 2 key IPOs will hit the market this week with Glenmark Life Sciences opening on 27-Jul and Rolex Rings on 28-Jul. Meanwhile Tatva Chintan lists on 29-Jul but after 180X subscription, the GMP is at a premium of 90%.

· FPIs selling was to the tune of Rs.5,445 crore last week and has escalated to Rs.10,188 crore in July. This could offset the $2.35 billion infused in June. Nifty options data hints at a support of 15,700 and resistance of 16,000, due to elevated VIX levels this week.

· Key Indian data will include forex position, fiscal deficit and core sector with focus on core sector MOM growth and fiscal deficit spike. Global focus on US home sales, Fed rates, GDP, jobless claims; EU GDP flash, PMI; Japan PMI, IIP, retail sales, housing

The big factor to watch out is how many more IPOs get announced this week.