Week Ahead....

The market extended gains for yet another week ended October 28, though there was volatility and consolidation amid a mixed global mood and favourable domestic cues.

The BSE Sensex jumped more than 650 points to close near the 60,000 mark, and the Nifty 50 rallied over 200 points to 17,787, while the Nifty Midcap 100 index gained 1 percent and the Smallcap 100 index was up 0.2 percent for the week.

Overall market mood in the coming week is expected to remain positive, with a focus on two key events — the special Monetary Policy Committee meeting and the Federal Open Market Committee meet along with corporate earnings.

Participants should maintain their focus on sector/stock selection and utilise dips to add during consolidation.

Technically Nifty 50 has formed a small-bodied bullish candlestick pattern on the daily as well as weekly charts, and faced a lot of challenges at the 17,800 mark in the passing Diwali week, and found support at 17,600. If these level get decisively surpassed, then the index is likely to reclaim 18,000-18,100 levels in the coming days.

The option data indicated that the Nifty 50 may trade in the range of 17,500-18,200 in the coming days.