K. ARAVIND
This week saw the stock market trade within a certain range. The strong pressure on the Nifty at 11,377 points could not be overcome. On August 11, it touched this level but went down due to selling pressure. At the same time, the Nifty did not fall below 11,240 points. The Nifty traded within a tight range of 100-150 points. At the same time, there was a sharp fluctuation within this range.
The stock market was not affected by the stocks that led the market in the previous weeks. Last week, private banks and Reliance Industries led the market. At the same time, this week saw Reliance trading within a range. Shares of private banks were also seen selling. At the same time, investors were interested in buying shares of public sector banks. There was surge in L&T. This is a stock that did not have a significant share in the earlier market gains.
There was no significant reaction in the market to the news about COVID-19. The news that Russia has approved a vaccine of COVID-19 moved the market only for a day. The market also ignored news of an increase in the number of COVID-19 patients. The effects of the announcements made by the Reserve Bank of India last week did not continue this week.
The market is expected to move within a fixed range next week as well. Nifty will face pressure on 11,377. If it breaks through that point the next pressure level is at 11,550. The market is supported at 11,000. If it plunges below that and goes down the next support is at 10,800. It is likely to trade between 11,000 and 11,377 next week. There must be some significant events if there needs to be any break through in this range. The availability of funds has kept the market afloat. The fluctuation is likely to continue next week.
