Stock Market Prediction Next Week (6 – 10 Nov 2023)
Stock Market Prediction Next Week (6 – 10 Nov 2023): Indian stock market indexes snapped a two-week losing streak and closed higher. The domestic markets were cautious early week ahead of the US Fed interest decision.
However, the sentiments turned positive after the US dovish monetary policy updates and the decline in Treasury yields. The upside remains capped as India’s manufacturing and services activity growth slowed in October according to S&P Global PMI data.
In the coming week, quarterly earnings and global cues will set the market direction. The crude oil prices, Treasury yields, and FII activity will also impact the domestic markets next week. The other key factors that are likely to influence the domestic markets are given below.
Stock Market Prediction Next Week ( 6 – 10 Nov 2023)
Stock Market Prediction for Nifty & Bank Nifty next week
The Nifty index has picked up well this week, particularly in the second half, and closed above the 19220 level. With 19050 levels maintained as the decent support zone as of now.
For the Nifty index, the near-term target is visible near the 19500-19650 zone with RSI on the rise from the oversold zone and getting stronger to support the upward momentum.
Similarly, the Bank Nifty index has steadily given a decent rise in the last 3-4 sessions to reach above the 200 DMA level of 43200. The frontline banking stocks like Axis Bank, ICICI Bank, and SBI, along with PSU banks, are getting stronger, and further up moves are expected.
The overall trend has been gaining strength, with a focus now being maintained near significant landmarks where some profit booking can be anticipated. On a weekly basis, the Bank Nifty index could trade in a range of 42300- 44300 zone.
Also read- Nifty and Bank Nifty futures analysis for Monday
You can also follow our daily Nifty and Bank Nifty futures, trends, trading strategies, and market updates on our Website or Telegram Channel – https://t.me/nifty50stocks1
Q2 Earnings
We will be entering the last leg of the quarterly earnings session and so far the second quarterly earnings of Nifty 50 companies have been broadly in line with expectation. According to a top broking house Technology sector has delivered weak earnings in the second quarter while the Banking, Financial, and Auto have announced strong earnings, meanwhile Consumer durables and Oil sectors have reported mixed results in the July – September end quarter.
In the coming week, on Monday the domestic markets will first react to the SBI Q2 earnings. The country’s largest lender reported its second quarterly earnings on Saturday, its net profits up 8% at Rs 14330 crore, beating estimates. There are 6 Nifty 50 companies that will announce their second-quarter earnings next week. The schedule is given below, investors who have a position in those stocks should remain cautious.
| Q2FY24 Result dates for Nifty50 Stocks | |
| 6 November 2023 | DivisLab |
| 9 November 2023 | Apollo Hospital |
| 10 November 2023 | Coal India |
| 10 November 2023 | Eicher Motors |
| 10 November 2023 | Hindalco |
| 10 November 2023 | ONGC |
Domestic Economic Data
Next week, the domestic market will unveil the Industrial Production (IIP) data on Friday. The country’s Industrial production rose to 10.3% in the month of August as compared to the revised growth of 6% in July. The IIP growth in September is likely to be lower in a single digit due to the impact of the core sector.
On 31st October, India’s infrastructure output data, or eight core sectors data in September came in a four-month low at 8.1%. The eight core industries account for 40.27% of weightage in IIP and thus it can have a significant impact on IIP.
Global Stock Market Prediction Next Week
The global stock market indices ended higher during the week. Investors across the globe were encouraged after the US central bank kept the interest rate unchanged and made dovish comments.
The global market sentiments remain upbeat, as the US Treasury yields and crude prices declined during the week. The in-line expectation of Bank of Japan (BoJ) and Bank of England (BoE) policy updates also supported the global market sentiments during the week.
The coming week will be comparatively a lighter one than the recent weeks, but still, there are a few developments that can make the week interesting. All eyes will be on Fed Chair Jerome Powell, who will be appearing on a panel at the IMF conference next week. The third quarter preliminary GDP data from the UK will also remain in focus.
On the earning front, most of the megacap technology companies that influence the global markets in a big way have already announced their third quarterly earnings except Nvidia, which is scheduled on 21st Nov. In the coming week, Uber Technology and Disney will announce their quarterly earnings on the 7th and 8th of November.
Traders will closely follow the Inflation and PPI data from China and Michigan consumer sentiments from the US during the week. The other key macroeconomic data that are likely to influence the market in the coming week are given below.
You may like to read- Global Stock Market Weekly Analysis (30 Oct- 3 Nov 2023)
Global Macroeconomic Data
| Important Global Macro Data Next Week | ||
| 6 November 2023 | BoJ Monetary Policy Meeting | Japan |
| 6 November 2023 | Jibun Bank Services PMI Oct | Japan |
| 6 November 2023 | HCOB Services PMI Oct | EA |
| 7 November 2023 | Balance of Trade Exp & Imp Oct | China |
| 7 November 2023 | Halifax Housing Price Index Oct | GB |
| 7 November 2023 | Balance of Trade Exp & Imp Sept | US |
| 8 November 2023 | Reuters Tankan Index Nov | Japan |
| 8 November 2023 | Retail Sales Sept | EA |
| 8 November 2023 | Fed Chair Powell’s speech | US |
| 9 November 2023 | Inflation rate October, PPI inflation | China |
| 9 November 2023 | Initial Jobless Claim | US |
| 10 November 2023 | Fed Chair Powell’s speech | US |
| 10 November 2023 | GDP Growth Rate Q3 | GB |
| 10 November 2023 | Industrial Production Sept | GB |
| 10 November 2023 | Manufacturing Production Sept | GB |
| 10 November 2023 | Michigan Consumer Sentiment Nov | US |
| 10 November 2023 | Michigan Consumer Expectation Nov | US |
| 10 November 2023 | Michigan Inflation Expectation Nov | US |
Crude Oil Prices
Crude oil prices fell on Friday and ended lower for the second consecutive week mainly on easing concerns about Middle East supply disruptions. The weak job market data on Friday fueled concern about slowing the US economy, which is also the largest crude consumer in the world.
Previously, the weak manufacturing activity data from China also prompted some profit booking in crude prices in anticipation of slowing crude oil demand from the world’s largest crude importer. On a weekly basis, both the benchmark WTI and Brent fell around 6% and 4% respectively.
FII & DIIs flow
Foreign Institutional Investors (FIIs) were the net sellers in the Indian equity cash segment last week. They offloaded shares worth Rs 5522.38 crore during the week. Meanwhile, Domestic Institutional Investors (DII) were the net buyers last week. They bought shares worth Rs 3540.27 crore.
Foreign investors have offloaded shares for the last three months, as the US Treasury yields surged to a record level. Now going ahead, FIIs may stop selling shares in the Indian equity cash segments, as long-term US Treasury yield started reversing. We may see a new high in the market if FIIs are back. Traders should keep a close eye on FII and DII activity in the coming week
Conclusion:
Indian stock markets turned positive as global sentiments improved after the US Fed’s dovish monetary policy updates. Going ahead markets are likely to trade positively but investors should vigilantly monitor the above-mentioned factors, as they might influence our stock market prediction in the coming week. Investors can also follow our Daily Morning Report at 7:30 a.m. to know the market direction.
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