Week Ahead

The BSE Sensex was down more than 100 points to 61,663, and the Nifty50 fell over 40 points to 18,308, while the Nifty Midcap 100 and Smallcap 100 indices declined 1.5 percent and 1 percent respectively.

The sectoral trend was also mixed with the banking & financial services, and technology stocks ending higher, whereas auto, FMCG, energy and pharma fell between 1-2 percent.

The coming week is also expected to be volatile as we have a monthly expiry and there will be no major trigger on the domestic front, hence all eyes are on global cues.

Technically Nifty has formed a bearish candlestick pattern on daily charts, while on the weekly timeframe, there was Spinning Top kind of pattern formation, indicating indecisiveness among bulls and bears, but sometimes Spinning Top formation at the top of an uptrend might indicate that bulls may be losing momentum after consistent northward journey.

The Nifty50 has managed to defend not only 18,200 but also 18,300 mark -- both are going to act as immediate support levels followed by crucial support at 18,000 mark. On the higher side, 18,400-18,450 is expected to be a resistance area for the index.

Option data indicated that in the immediate term the Nifty50 may trade in the range of 18,000-18,500 levels.