It was the fifth weekly decline for the markets in six weeks, with the Sensex losing around 0.62 per cent this week, while the Nifty closed lower by 0.62 per cent.
The week was also a truncated one as well with the markets being closed for trade on Monday and Thursday. Global cues were not great, with the US markets falling sharply on Wednesday, as the bond yields inversed.
Going ahead, markets would continue to take cues from across the globe, give that there are not too many data points for our markets.
This week, the stock of IndiaBulls Housing was extremely volatile. In fact, it was the most volatile stock from among the Nifty. The company's debt has been downgraded by Moodys, which added to the volatility in the stock.
Yes Bank too was volatile through the week, but, saw good buying support on Wednesday and Friday, after the bank completed its QIP. It raised about Rs 2,000 crores in the process.
This week, also saw the stock of Reliance Industries closing higher as the company announced plans to be debt free. A few brokerages have revised their target price on the stock upwards.
Defending 11,000 points holds the key
Many analysts feel that the Nifty should defend 11,000 points for a further upside. On the other hand, if it closes above the 11,200 points mark, there could be a higher closing.
It is important to sell on rallies, as economic indicators point to weakness and there is lack of any triggers. Foreign portfolio Investors have been net sellers in Indian stocks for almost all of the sessions, since the Union Budget was announced.
If the selling pressure from Foreign Portfolio Investors continues, there is a risk of a further fall in the markets.
Investors are once again advsied to adopt a strategy of sell on rallies.