InvestorQ : What is your trading view for 15 March, Monday? Will the index correct further or would it bounce back?
Dhwani Mehta made post

What is your trading view for 15 March, Monday? Will the index correct further or would it bounce back?

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diksha shah answered.
4 weeks ago
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The fall in the indices on Friday was actually disconcerting. Now, after the sharp fall in the Nifty and the Sensex on Friday, the markets are likely to be tentative this week. In fact, if you notice, on Friday, the Sensex gave up 1000 points from the top level of the day. Hinting at the extent of caution in the market with traders unwilling to take weekend risk.

Key macro data was announced on Friday evening on the IIP and Inflation. Inflation came in higher at 5.03% while IIP came in negative at -1.6%. However, the big event this week will be the FOMC meet on 17 March which is likely to set the tone for the RBI approach when it meets again in April. The FOMC will also set the trend for the bond yields in the US.

One thing is clear that the FPI enthusiasm for Indian markets appears to be waning. On Friday there was net selling of Rs.943 crore by the foreign investors even as domestic institutions continued to be sellers at Rs.163 crore of equities. FPIs have seen selling to the tune of over Rs.7,200 crore in equities and debt combined in March till date.

Global markets were mixed on Friday and they are likely to remain tentative till the FOMC meet happens on 17 March. The Dow was up nearly 90 bps while the NASDAQ was down 60 bps. Europe was mixed with FTSE and CAC up while DAX was down. SGX Nifty did show signs of strong opening but local overhang is likely to be quite. Prepare for a volatile market.

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