Today,the market opened on a cautious note amid mixed global cues. Stocks in the US and Europe closed in the red on Friday. Asian markets are bit of a mixed bag.The choppy trend may continue till the earnings and other near-term triggers are digested. However, liquidity is abundant and risk appetite is showing no signs of abating anytime soon. Overall, there aren’t too many headwinds that could upset the current momentum. At the same time, valuations are not cheap. The Nifty could swing in a 5000-5100 range in the near term. On the downside, watch out for 4940 and 4825.
Banks will be in the limelight ahead of tomorrow’s RBI policy review. The central bank is unlikely to jack up rates though it may hint at a change in stance as inflation is starting to inch up. Aside from earnings, other events to watch out for this week are the F&O expiry and US GDP data.Looks like the bulls are suffering from fatigue after a seven-month rally. Most of the good news appears to have been discounted. The road ahead will be a little bumpy.
