Dalal Street to see range-bound trading this week: Analysts

Stock market is expected to remain in a narrow range this week and will look towards global peers for direction in absence of positive cues and fresh triggers, analysts said.

"At this moment, most of the positive factors have also been factored in into markets movement. Only fresh triggers can drive the market upward from here, which seem lacking at present," domestic brokerage house ICICIDirect said in a note.

According to Geojit BNP Paribas Financial Research Head Alex Mathews "Outlook looks better from domestic perspective, but cues from overseas will have an impact on our markets in the coming week."
    
Historically, September has been a volatile month and a trend generally emerges for the market.
    
Since the Indian markets have been still moving within a broad range for the past three months, it would be interesting to see whether we see a breakout in either direction, said an analyst.
    
Analysts said investors would keep an eye on the factory output data, due this week.
    
"Being a short trading week, stock specific activity is expected to rule in the market as investors would like to see Industrial Production numbers for the month of July, scheduled to be released on Friday," SMC Global Securities Research Head (Retail) Saurabh Jain said.
    
Markets will remain closed on Friday on occasion of Id.
    
"Tracking firm trading on Wall Street during the weekend and quite positive global cues, stock market is likely to open on a positive note on Monday," Bonanza Portfolio VP (Research- Equity) Avinash Gupta said.
     
On Friday, US markets ended higher after the US employment data calmed investors' worries that the world's largest economy was heading toward a double-dip recession. In the past week S&P 500 Index recorded a rise of about 4 per cent and Dow Jones 3 per cent.
    
The US economy shed 54,000 jobs in August, significantly less than the anticipated 105,000 job losses last month.  This stoked hopes that the country's labour market was slowly improving.
    
In line with rebound in the global indices, Indian market too witnessed sharp bounce during the last week. On a weekly basis, the BSE Sensex climbed 223 points, a rise of 1.2 per cent to close at 18,221.43 points. The wide-based Nifty index of the NSE also gained 1.3 per cent.
    
Indian markets continued to attract fund inflows due to their comparative stronger economic scenario.
    
Overseas fund houses maintained their bullish stance for the third month in a row and put a net investment of Rs 11,685 crore ($2.5 billion) in Indian equities last month.  FIIs have infused Rs 60,447 crore ($13.1 billion) in domestic markets this current year so far.