Market Outlook

While movements remain range-bound, expect volatility for most part of the week as

Eyes are set whether the market would be able to continue momentum build-up based on yesterday’s advance, as some might be inclined to utilize this strength to exit.

MACD indicates that there is still selling pressure for the market as MACD histograms

The index closed at 6,461, rebounding from earlier losses in the trading session which saw the index fall below 6,400.

After the market failed to break above the 200-day MA, the market retested and briefly traded below

The candlestick has been forming a doji formation indicating that there could be a bullish candlestick today.

The index traded lower in the daily timeframe, however on a longer timeframe, this appears to be on an upward trend.

The index appears to have hold from its previous support levels and has started to rebound.

The index closed slightly higher at 6,520.44 settling near 6,500.

The index closed at 6,510.67, down -1.25% and is performing below its 50-d MA.

The index continues to move in a range as prices fall back to 6,560.

Participants may be on wait-and-see mode, if Thursday’s trades would mimic previous session’s MOC-boost.

Sentiment might drift to Wall Street’s overnight weakness (DJIA -0.69%, Nasdaq Comp. -1.26%) as fund managers trail the progress of US debt ceiling negotiations.

After a huge pullback coming from 6,700 levels, the index is trying to regain its previous price levels by overtaking bear candles.

Mixed tones might greet Monday’s trades, as investors sift through headlines on the approval of debt ceiling cap in the US, as well as those at home.