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Global cues to weigh on sentiments in monthly expiry week !

ICICIdirect Research 23 Aug 2024 DISCLAIMER

Globally, equities traded lacklustre to positive as investors reassessed slowdown concerns in US ahead of Jackson hole Fed symposium. Nifty gained 1% while small caps outperformed with 3.5% gain
In the coming week, markets are expected to continue with stock specific action amid 24400-25200 range with global cues providing directional bias. Monthly expiry could trickle in some bouts of volatility
Sectorally, Consumption, IT, Pharma to outperform while PSU banks, Metal and Capital goods companies provide decent reward-risk proposition after recent corrective phase
Breadth: Percentage of stocks above 50dema has improved from 43% to 60% last week indicating broader markets continuing momentum
Structure: Despite global volatility, Index has maintained its rhythm of not correcting more than 5% (pricewise) and two weeks (time wise) since beginning of CY24. Key take away is that post such price/time correction Nifty has tendency to surpass life highs in each of the four instances

Global cues: Global headline indices, led by US are in steady uptrend and S&P 500 remains within 1% of life highs. Steady global markets would act as cushion

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