Brokerage firm Hem Securities' is of the view that in case of rebound from here, small and mid caps will benefit the most and the two most important factors that have weighed on the markets this week are the higher bond yield. In India similar to other markets, bond yields have touched multi-year high of 7.215%. On the other hand, because of the markets being shut on Thursday, weekly expiry happened on Wednesday.
So, as in the week ahead, investors will watch out for earnings by various entities, inflation and developments around Ukraine-Russia conflict. Furthermore, cues around crude prices will also be played out. Currently also oil prices are hovering above $100 per barrel mark with brent benchmark at $111.7 per barrel.
Technically, the support for the Nifty is seen at 17050, while the 18000 level shall act as the resistance. For Bank Nifty, 36,800 and 39,400 are support and resistance levels, respectively.
Now coming to the heavyweight stock Reliance Industries, it is among the top trading ideas for 3-4 weeks time and owing to its spree of executions in the New Energy space and future focussed ideas it is set to become a global leader. There is also a strong view that the conglomerate shall realise its net carbon zero by 2035. Furthermore, the continued increase in its ARPU, strong outlet additions are adding to the revenue of the company. The brokerage Hem Securities suggests to add the stock of Reliance Industries or RIL for a target of Rs. 3000 in the near term i.e. an upside of 17.57%.