Stock market likely to move higher

K. ARAVIND

It has been an eventful week for the stock market. The highlight of last week was the presidential election in the United States. Despite the fluctuations associated with it, the market has finally moved forward. Therefore, the market closed last week with a gain over the previous week.

Joe Biden is likely to be the next president, but full results are yet to be declared. Uncertainty remains, but the market is looking at the next president’s policies. The new administration is expected to announce stimulus packages. A meeting of the US Federal Reserve is also scheduled to take place. Considering all this, the market is likely to move forward.

The Supreme Court has adjourned the next hearing on the petition on the banks’ moratorium to November 18. It has also led to a rise in banking stocks. The festive season and the fact that the vaccine test for the epidemic is in its final stages are positive factors for the market.

The Nifty is moving to new heights. Banking and IT stocks will drive the climb.

Joe Biden is likely to lift existing visa restrictions for IT companies. Therefore, IT stocks are expected to rise. Banking stocks are technically breaking out. The Nifty has strong support at 11,800 points.