Stock market prediction Nov 2-6 week: Nifty, Sensex rebound from losses - Will bulls deliver a Diwali bonanza? Outlook

Stock market prediction Nov 2-6 week: The Nifty 50 and Sensex reversed their previous week's losses, ending the week on a positive note. Gains in the pharmaceuticals and IT stocks lifted market sentiment ahead of Diwali. The Nifty 50 surged 2.59% during the week, the BSE Sensex advanced 1.6%.As we head for the first week of November, experts decode stock market outlook for the coming week, between November 2-6.Stock market outlook for next weekThe Indian stock market next week is likely to showcase range-bound movement in the coming week as crude oil prices volatility, US mid-term elections, and US-Iran tensions are likely to drive sentiments.“Indian equities are expected to remain range-bound with bouts of volatility next week, ahead of the US midterm elections on Tuesday and amid uncertainty over a potential escalation of geopolitical tensions between US and Iran, which is likely to keep market sentiment cautious,” explained Siddhartha Khemka - Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd.Additionally, corporate earnings will also impact investors’ sentiment.

Brent crude oil prices continued to remain volatile over the last week. The commodity surged above $ 117 per barrel on Friday, and inched closer to the four-year high of $ 116.72 (recorded on October 23).Nifty 50 outlookThe Nifty 50 formed a high wave candle, as it continued to reach higher high and a higher low.“Index sustaining above Friday’s low of 22,905 will signal extension of the current pullback towards 23,150-23,200 levels.

While a breach below 22,900 will signal some consolidation in the range of 22,900-22,600,” explained Pabitro Mukherjee, Deputy Vice President-Research, Bajaj Broking.“The immediate short-term bias remains corrective below the 23,175–23,250 resistance zone, marked by the confluence of last month’s high and the 50-day EMA, a sustained breakout above this zone would signal a pause in the downtrend,” the expert added.Nifty 50 performance recapNifty 50 closed 0.51% higher at 23,053.10 points on Friday.

Whereas, BSE Sensex ended last trading session with 0.42% gain at 74,459.53 points. Trent, IndiGo, Infosys, Apollo Hospital, Power Grid, NTPC were among the top gainers on Friday. Whereas, Shriram Finance, Nestle India, M&M, Jio Financial Services, Adani Ports, Tata Steel, were among the top laggards.