Nifty and Bank Nifty levels for next week ( 12- 16 July)

 

 

Stock Market Direction- Nifty & Bank Nifty levels for Next Week ( 12 – 16 July): Indian stock markets finished slightly lower during the week ended 9 July. The market declined during the week due to weak economic data, FIIs outflow, concerns over a rapid spread of delta variants, and weak Asian market cues. However, the broader markets performed better than benchmark indices during the week.

 

Factors that may impact the Nifty and Bank Nifty levels next week (12-16 July)

 

Macroeconomic Data

 

Last week, Indian markets closed marginally lower in absence of any trigger. On Monday, the government will release CPI inflation and IIP data after the market hours. Traders may remain cautious ahead of the data, as retail inflation likely to accelerate in the month of June due to a rise in food and fuel prices. The schedule for other macroeconomic data for the week is mention below.

 

Economic Data Next Week
12 Jul 2021	CPI Inflation
12 Jul 2021	Industrial Production
14 Jul 2021	WPI Inflation
15 Jul 2021	Balance of Trade – Export & Import
16 Jul 2021	Bank Loan & Deposit Growth

 

Q1 Results for FY22

 

The quarterly earnings season has just started. Last week the IT major TCS has kicked off the Q1FY22 result, but it missed the street estimates. In the coming week, two more IT giants Infosys and Wipro will announce their first quarterly results on 14 and 15 of July respectively. Traders should remain cautious in the IT sector next week.

 

Global market cues

 

The global indexes closed positive during the week ended 9 July. The global markets are concern about the rising delta variant of Covid-19 infections and its impact on global economic growth. Traders are also worried about the uncertainty of the Fed’s asset tapering decision and hike in the inflation rate. Next week, global markets will react to the inflation, Industrial Production data of various countries like the US, Europe, China, etc. The other global microeconomic data that are going to release next week are as follows.

 

Important Global Macro Data Next Week
12 July 2021	Consumer Inflation expectation June	US
13 July 2021	Balance of Trade- Export & Import	China
13 July 2021	Core Inflation June	US
14 July 2021	Industrial Production May	Japan
14 July 0201	Core Inflation June	GB
14 July 2021	Fed Chair Powell Testimony	US
15 July 2021	GDP Growth rate	China
15 July 2021	Industrial production,	China
15 July 2021	Retail sales and Unemployment Rate	China
15 July 2021	Industrial production	US
15 July 2021	Jobless claim	US
16 July 2021	BoJ Interest rate decision	Japan
16 July 2021	Retail Sales	US

 

Nifty & Bank Nifty Futures levels for next week ( 12 – 16 July )

 

Nifty Futures levels for the next week ( 12 – 16 July )

 

Primary Trend of NSE Nifty index futures for next week: Mild Negative

Range-Bound Trend of Nifty futures: All up Moves Initiates Profit Booking (Sale) @ 15850 whereas All Down Moves Initiates Short Covering (Buy) @ 15650

Suppose Nifty share price in futures Moves Above 15772 and sustain. Then you should Buy Nifty futures with 1st Target of 15795 during the day or week with a Stop Loss of 15690 FOR the Target of 15795- 15847- 15875- 16913

Suppose Nifty share price in futures Moves Below 15690 and sustain. Then you should Sell with the 1st Target of 15656 during the day or week with a Stop Loss of 15781. FOR the Target of 15656- 15625- 15578 -15545

 

Bank Nifty Futures levels for next week ( 12 – 16 July)

 

Primary Trend of Bank Nifty index future for the week: Mild Negative

Range-Bound Trend of Bank Nifty share price in future: All up Moves Initiates Profit Booking (Sale) @ 35950, whereas All Down Moves Initiates Short Covering (Buy) @ 34800

Suppose the Bank Nifty share price in the futures Moves Above 35450 and sustains. Then you should Buy Bank Nifty futures with the 1st Target of 35600 during the day or week with a Stop Loss of  35120. FOR the Target of 35600 – 35797- 35990- 36185

If Bank Nifty shares price in the future Moves Below 35120 and sustained. Then you should Sell with the 1st Target of 35046 during the day or week with a Stop Loss of 35065. FOR the Target of 35046- 34930- 34820 – 34630

 

FII & DIIs investment 

 

Foreign Institutional Investors (FIIs) were sellers while Domestic Institutional investors (DIIs) were buyers in the cash market during the week ended 09 July. FIIs have sold Rs 2028.36 crore while DIIs have bought only Rs 92.46 crore in the cash market segment during the week.

FIIs continuously selling in the cash market since April 2021. After selling around 18080 crores in Q1 FY22,  FIIs sold Rs 4256.45 crore in July so far. FIIs may continue to stay away from the Indian markets as the market is overvalued and also due to a rise in crude prices and weak economic data. Though DIIs are buying and supporting the market from a big fall still traders should remain cautious on this front.

 

Coronavirus risk & Vaccination

 

India reported 42766 new covid cases and 1206 deaths in the last 24 hrs on Saturday morning ending 8 am, as per Union Health Ministry. The national recovery rate is now 97.20 percent and active cases have further dropped to 4.55 lakh as of now. 

Though Coronavirus infection is declining in India, the delta variant is the most transmissible, dangerous variant of Covid-19 infection rapidly spreading globally. The main reason behind the surge is due to social mixing, ease of lockdown restrictions, and slow pace of vaccination.

Meanwhile, India has administered more than 37 crore vaccines so far. Vaccination for children between the age group of 12-18 years is expected to start from September with the Zydus vaccine. Traders should closely follow the news related to the delta variant in the next week.

 

You can also read daily morning market updates before the markets get open and daily Nifty and Bank Nifty levels in futures in the evening on our website.

 

You may also like to read, 5 Best Stock Market Books- Beginners Must Read in 2021

Gainers & Losers- Weekly Stock Market Updates (5-9 July)

 

Happy Investing!!

Editor’s Desk

 

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