By Soumya Ranjan 
- Sensex expectation for tomorrow, 20 January, Monday: Market specialists expect the market to keep a careful tone this week too because of a few homegrown and worldwide variables. Key corporate profit from heavyweights like Hindustan Unilever, HDFC Bank, ICICI Bank, BPCL, and Hindustan Petrol are scheduled for discharge, which will be observed intently.
Sensex prediction for tomorrow, 20 January, Monday:
The business sectors proceeded with their combination stage, shedding almost a percent as the restorative pattern continued. Homegrown benchmark files Sensex and Nifty declined on Friday, January 17 following a three-day rally.
The 30-share BSE Sensex declined 423.49 focuses to close at 76,619.33 while the NSE Clever 50 list settled 108.60 focuses at 23,203.20 following an unstable day of exchange. Sectorally, there was a blended pattern, with metals and energy showing respectable increases, while IT stocks plunged forcefully because of frail profit, trailed by decreases in the realty and FMCG areas.
Market experts anticipate the market to maintain a cautious tone this week as well due to several domestic and global factors. Ajit Mishra – SVP, Research, Religare Broking, said that key corporate earnings from heavyweights such as Hindustan Unilever, HDFC Bank, ICICI Bank, BPCL, and Hindustan Petroleum are slated for release.
Additionally, the swearing-in of US President Donald Trump on January 20 is expected to draw significant attention. So, how should traders tread this week?
During the week, after the correction, the market found support near 23050/76200 and bounced back sharply; however, it registered profit booking at higher levels once again. “Technically, on the daily and intraday charts, it is still holding a lower top formation, which suggests further weakness from the current levels,” said Amol Athawale, VP-Technical Research, Kotak Securities.
The expert is of the view that the current market texture is weak but oversold. Hence, level-based trading would be the ideal strategy for short-term traders.
For bulls, 76,900 would act as a key resistance level. Above this level, we could see an extension of the pullback rally up to 77,500 and 77,800, or the 20-day Simple Moving Average (SMA). On the other hand, 76,300 will serve as a key support zone, Athawale added
Below this level, the market could slip to 76,000, with further weakness potentially dragging the index down to 75,700.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. The Times of Dalal Street suggests its readers/audience to consult their financial advisors before making any money related decisions.)