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Weekly quote by Mr. Apurva Sheth, Head of Market Perspectives, Samco Securities & Technical Outlook by Mr. Rohan Patil, Technical Analyst, Samco Securities

Mr. Apurva Sheth, Head of Market Perspectives, Samco Securities

Next week, market participants will keenly watch the inflation numbers of US and  China. With the Fed still maintaining its hawkish tone, the US inflation numbers will be highly significant. Back home, the result season of Q3FY23 will kick off with major IT companies reporting their quarterly numbers. The attrition rates of IT  Companies will be closely looked out after they reached the peaks in Q2. Stock  specific movements will be prominent and as investors react to earnings misses and beats, they are advised to assess the company's long-term potential rather than  basing their investment decisions solely on quarterly performance.

Technical Outlook by Mr. Rohan Patil, Technical Analyst, Samco Securities

Bulls lost control of Nifty’s psychological 18,000 mark, and index ended lower for  third day in a row. The daily momentum indicator is in bearish crossover,  suggesting weak price momentum for near term. Further, the daily chart index breached its smaller degree trend line support which was placed at around 18,050 levels and post that significant selling was witnessed. If we observe broader time frame (weekly chart), the front-line index is trading  between the 9 & 21 EMA which is placed at 18,070 & 17,826 levels. From past three weeks, bears are making a strong attempt to drift below 17,800 levels but 21 EMA  is acting as an anchor support for the Index. The volatility may continue over the short term with predominant weakness. On the lower end, support is visible at 17,750 levels while on the upper end, resistance can be seen at 18,250 levels, above which a bullish reversal may happen

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