Monday’s gains are unlikely to rollover at least at start though the overall undertone remains cautiously optimistic. Strong earnings from a few index bellwethers have lifted the mood of late. So, corporate results will continue to drive the sentiment.
The RBI is likely to hike policy rates for the sixth time in a bid to contain high inflation. But, since the markets are prepared for the move, it may not have a material impact. What the RBI officials say will be followed closely.
US mid-term elections are scheduled for Tuesday and could change the balance of power in Washington. The two-day FOMC meet also starts today but the outcome will be available only on Wednesday.
Coal India listing is slated for Thursday before the Diwali holiday. As usual, there will be ‘Mahurat Trading’ on Friday. If all goes well, the main indices could head higher. The Nifty is likely to find support in the 5950-6100 zone; resistance is expected between 6200 and 6300.
Wish you all Happy trading and profitable year ahead.
Northpole team.
