Indian stock markets are following the trends in the global markets. Markets opened the week on a positive and NSE Nifty touched all-time high before falling on the same day. By Friday, markets turned bearish and there was widespread selling in markets today. However, we have witnessed recovery in certain counters during the afternoon trading session.

A review of Indian stock markets by Rahul Sharma from Equity99 follows...

This week markets started on a positive note and later on entered the bearish territory with nifty correcting 200 points. Today Nifty Midcap index was down 600 points. Nifty Metals was worst hit sector down 7% with NMDC hitting lower circuit & TATA Steel & JSW Steel down 9% & 7% respectively. Nifty Bank was down breaching 35K levels. FMCG stocks were in focus with HUL, Britannia & Nestle being top gainers.

The overall market looks weak Investors are advised to adopt a cautious approach and keep strict Stop-loss to their positions. Markets after touching new highs are expected to correct a bit before the next leg of the up move.

Important technical levels for next week are - For Nifty50

Support - 16400- 16225 - 16000

Resistance - 16600-16720-16900

For Bank Nifty 34750 will act as crucial support on breaking which might touch 34600 & 34400 levels on the upper side 35425 will act as important resistance and if it breaks these levels 35700 & 35900 will be next levels.

Sector to watch for next week – FMCG, IT, Pharma, Sugar.