Mumbai, February 15 – After a sharp decline in benchmark indices, investors will closely monitor global and domestic cues next week, including the minutes of the US Federal Reserve meeting, signals from the Reserve Bank of India (RBI), trends in the IT sector, prices of bullion, and activity by foreign investors. These factors are likely to determine the direction of the Indian stock market.
The Indian stock markets ended sharply lower on Friday, February 13, due to weak global cues and growing concerns about artificial intelligence and its potential impact on the global economy.
The BSE benchmark index fell by 1,048 points, or 1.25%, to close at 82,626.76. The broader NSE index also slipped by 336 points, or 1.30%, to settle at 25,471.10.
"On the weekly chart, the immediate resistance level is at 25,700. On the downside, strong support is seen at 25,300," Choice Broking said while commenting on the technical outlook for Nifty.
It added that a decisive break below 25,300 could accelerate the downward momentum, while a sustained move above 25,700 may revive bullish sentiment.
"Given the current situation, traders should adopt a range-bound strategy with strict stop-loss discipline," it stated.
Looking ahead to next week, investors will first focus on the minutes of the latest policy meeting of the US Federal Reserve, which are scheduled to be released on February 18.
Market participants are also awaiting US GDP data for the October–December quarter. Back home, the minutes of the recent monetary policy meeting of the Reserve Bank of India will be released on February 20.
The IT sector is likely to remain in focus after witnessing heavy selling pressure this week. The Nifty IT index declined by nearly 8% during the week, making it the worst-performing sector.
Heavyweights such as Tata Consultancy Services, Infosys, and Wipro came under significant pressure.
Investor concerns have increased that generative and agentic artificial intelligence technologies could reduce demand for traditional outsourcing services, which may affect the future earnings visibility for IT companies.
Meanwhile, global commodity trends will also be closely watched. Prices of gold and silver began the week in a consolidation phase after a sharp sell-off earlier that forced leveraged investors to exit long positions.
Activity by foreign institutional investors will also play a crucial role. So far in February, FIIs have been net buyers on most trading sessions, supported by improved sentiment following the India-US trade agreement.
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The information provided is for general informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Readers are advised to rely on their own assessment and judgment and consult appropriate financial advisers, if required, before taking any investment-related decisions.
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