Mr. Vivek Gupta – Director Research CapitalVia Global Research Limited Equity market outlook
The market opened on positive note and a bout of volatility was witnessed in mid of week’s trading as a result of hawkish stance by 
RBI on monitory policy where it kept key policy rate unchanged. Selling by foreign institutional investors and weak global cues dragged market into negative zone on the last day of weekly trading sessions. US air strikes in Iraq also dampened sentiment. Nifty August Fut closed at 7593.90. Market movement in near term may depend on WPI and CPI numbers which are going to be declared next week.
Overall trend of the Nifty August Future is bullish, but last week it remained volatile in the beginning, later its slipped into red. Market sentiments may remain bearish in near term and Nifty August Future may test its next major support level of 7445, if it breaches this support mark further selling pressure can be seen in the upcoming trading sessions while resistance for Nifty August Fut are at 7650 and 7800.
Stocks to watch on:
Motherson Sumi Systems Buy
Overall trend of the stock is bullish and it is accumulating with the positive bias below its resistance level of 370. It is trading with the RSI of 59 and above its 50 and 200 days moving averages, One may initiate the long position in the stock with the crossing of resistance level for the target of 384 and 398. Support is at 356 which will act as stop loss.
Dr Reddy Laboratories Buy
The primary trend of the stock is bullish and it is consolidating with the positive bias from the last few sessions. It is likely to move upside with the crossing of its resistance level of 2806, where longs can get accumulated for the target of 2869, 2930. Stop loss is at 2743.
