Recap of a Turbulent Week in Indian Stock Market

1. It was a turbulent week for the market that saw a crash of nearly 2000 points.

2. After a choppy week, today the market showed no signs of weakness at all. However low volumes is a matter of concern at all levels.

3. Aided by good global cues, it gained strength through the day and ended with the biggest single day absolute gain.

4. The figures for the week, however, were poor. Weekly figures are: Sensex down 3.3% and Nifty down 5.5%.

5. The CNX Midcap was down 9% and BSE Smallcaps down 14%.

6. BSE Oil & Gas Index was down 11%, BSE Metals Index down 10% and BSE Consumer Durables down 9%.

7. it is expected that the week ahead to be choppy and the market may test lower levels before a sustainable rally returns.

8. A number of events needs to be watched out for next week, the RBI announcing the Credit Policy on January 29 being one of the major.

9. Stability will return in market when excess money is returned by Reliance power IPO to Qualified institutional bidders (QIB) and retail investors as reliance Power IPO had sucked record liquidity from the system.