Stock Market Prediction Next Week (17- 21 July 2023)
Stock Market Prediction Next Week (17- 21 July 2023): Indian stock market indexes closed higher during the week, as the market sentiments were strong due to positive global cues and FIIs inflow. The decline in the dollar index and progress in the monsoon also aided the market sentiments during the week.
In the coming week, Indian markets will be focusing on quarterly earnings and global cues. The heavy-weight Reliance, HDFC Bank, and HUL will be announcing its 1st quarter earnings in the coming week. On the global front, economic data from China, Inflation data from Japan and Europe, and Retail sales data from the US will set the market direction. The other key factors that are likely to impact the stock market prediction are given below.
Stock Market Prediction Next Week (17-21 July 2023)
Nifty & Bank Nifty Prediction
On Friday, the Nifty index after a consolidation, finally breached the range-bound zone. It indicates a breakout to anticipate a fresh upward movement in the coming days with positive bias witnessed among the select frontline stocks.
The support of 19300 has been maintained in Nifty and now you can expect for next initial targets of 19900- 20000 levels with bias turning once again positive with the trend maintained strong.
The Bank Nifty index has also once again maintained strong support at 44500 levels and witnessed a decent pullback in the final hour on Friday. The Bank Nifty index closed in the green with bias and sentiment has improved.
Overall, the 44500 level is still maintained as an important support zone for the Bank Nifty index, whereas on the upside a decisive breach above 45500 levels would trigger a breakout in Bank Nifty and then we can expect a further fresh upward movement. BankNifty would trade in a weekly range of 43700-46200 levels.
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
1st Quarter Earnings
The earning season has just begun, and last week it kicked off with TCS, HCL Tech, and Wipro results. The results announced were mixed, and their guidance suggests a cautious outlook amid some signs of positivity for the near future. In the coming week, there are nine Nifty 50 companies along with hundred plus mid and small-cap companies are scheduled to announce their earnings.
Heavyweight stocks in the Nifty50 index, like HDFC Bank, HUL, and Reliance are scheduled to announce their Q1FY24 earnings next week and will set the market direction.
| Q1FY24 Result dates for Nifty50 Stocks | |
| 17 July 2023 | HDFC Bank |
| 17 July 2023 | LTIM |
| 18 July 2023 | IndusInd bank |
| 20 July 2023 | HUL |
| 20 July 2023 | Infy |
| 21 July 2023 | HDFC Life |
| 21 July 2023 | JSW Steel |
| 21 July 2023 | Reliance |
| 21 July 2023 | Ultratech Cement |
Global Stock Market Prediction Next Week
Last week global markets were very supportive and boosted the domestic market sentiments. The cooling inflation trends from the US have somewhat eased the fear of more interest rate hikes by the US Fed. The positive quarterly earnings and more stimulus measures taken by the Chinese government also improved the market sentiments.
The coming week will be a busy one, as some big corporate from the US like BoA, Morgan Stanley, Tesla, Netflix, and Goldman Sachs will announce their earnings. The Retail Sales data and House Starts data from the US will be closely monitored by the traders.
The inflation data from Europe and Japan will be in focus. The Q2 GDP data and Loan Prime Rate for 1yr and 5yrs from China will also impact the global stock markets next week. The other macroeconomic data that are likely to impact the global stock market predictions are given below.
| Important Global Macro Data Next Week | ||
| 17 July 2023 | GDP Growth Rate Q2 | China |
| 17 July 2023 | Industrial Production June | China |
| 17 July 2023 | Retail Sales | China |
| 17 July 2023 | Unemployment Rate | China |
| 18 July 2023 | Retail Sales June | US |
| 18 July 2023 | Industrial Production June | US |
| 19 July 2023 | Inflation Rate, Core / PPI | GB |
| 19 July 2023 | Retail Price Index | GB |
| 19 July 2023 | Inflation Rate CPI/ Core | EA |
| 20 July 2023 | Balance of Trade Exp/Imp June | Japan |
| 20 July 2023 | Loan Prime rate 1yr, 5yrs | China |
| 20 July 2023 | Weekly Jobless Claims | US |
| 20 July 2023 | Existing Home Sales June | US |
| 20 July 2023 | Consumer Confidence Flash July | EA |
| 21 July 2023 | Gfk Consumer Confidence July | GB |
| 21 July 2023 | Inflation rate Core Inflation June | Japan |
| 21 July 2023 | Retail Sales June | US |
Crude Oil Prices
On a weekly basis, crude oil gained for the second consecutive week. The US benchmarks WTI crude oil gained 2 percent while London benchmarks also up about 2 percent during the week. However, the strong consumer sentiment data corrected the crude oil prices on Friday. Investors feel that Fed would become hawkish even after declining trends of US inflation and preferred to book profits in crude oils.
The oil prices gained during the week due to the production cut by Saudi in July, followed by disrupted supplies from Libya on Thursday and optimism over US economic activity during the week. The upside remains capped due to strong consumer sentiment data and a slowdown in China after the latest trade data. Traders should closely monitor the crude oil prices in the coming week as higher crude prices could hit the domestic market sentiments.
FII & DIIs flow
Foreign Institutional Investors (FIIs) were the net buyers in the Indian equity markets, they bought Rs 5417.78 crore worth of shares in the equity cash segment during the week. Domestic Institutional Investors (DIIs) were the net sellers last week, they offloaded shares worth Rs 1251.29 crore.
The consistent FIIs inflow in the Indian equity markets supported the benchmarks to hit new record highs last week. So far in July, FIIs invested over 14000 crore and we feel the buying spree will continue and the indices will hit more record highs.
Other Key Factors
Other than the above factors, traders should also monitor the progress in the monsoon rain and the movement of the rupee against the dollar in the coming week.
Traders should also keep track of the G20 meeting of Finance Ministers and Central Bank Governors (FMCBG) to be held on July 17-18 in Gandhinagar. The meeting will focus on issues related to the global economy and international financial architecture.
The parliament monsoon session will start from July 20 to August 11. As a number of bills are likely to be tabled during the monsoon session, traders should keep updated about the news.
Conclusion
The quarterly earnings and global cues will drive the Indian stock markets next week. The domestic market sentiments are positive at this juncture, but traders should keep a close eye on the above factors, as these factors may impact the stock market prediction next week. You can also follow our Daily Morning Report at 7.30 am to know the market direction.
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Nifty and Bank Nifty Prediction for Monday 17 July 2023
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