In the absence of any major triggers next week, markets are expected to trade in a range, at least until results of the 3rd quarter start being unveiled.
Markets are expected to take cues from international markets, which have not begun 2014 on a very good note. Worries that markets have run far ahead of fundamentals, saw the US markets dropping this week and Indian and other global markets following.
It's extremely difficult to see the markets rallying substantially from here on, at least until the elections, though analysts have all sorts of prediction for the markets. Some see the Sensex target at around 23,000 points, while yet others are forecasting a year end target of 24,000 points for the Sensex. Markets may tend to behave contrary to consensus estimates, which means that could even have the potential to fall.
In the next few weeks the markets are likely to focus on the quarterly results in the absence of any major triggers.
The first to kick start the earnings season would be Infosys, and it's results would remain crucial for the markets given that it now has a heavy weightage in the Sensex and the Nifty. The stock has run up sharply in the last few months and if the performance and guidance is not line with the huge expectations, the stock could fall.
Following results the next few triggers would be the RBI Monetary Policy and the Fed's decision on further tapering its QE3 programme.
All in all at least the next week is likely to see markets trading in a range.