The market is likely to remain range-bound this week. While investors will watch out

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for the forthcoming factory output numbers, the last batch of first quarter results from key Nifty components such as Bharti Airtel, Tata Steel and SBI are expected to trigger stock-specific actions. On the global front, the US Federal Reserve meeting, due this week, will be tracked keenly.

“The market is likely to stay range bound. We believe Nifty will sustain at 5,400 level. However, the 50-stock index may not go beyond 5,470-80 levels. Foreign institutional investors are investing in Indian market relentlessly. Institutional investors will continue to prefer India to euro zone nations until the euro zone crisis is over,” said Ambareesh Baliga, vice-president (equities) at Karvy Stock Broking.

Tata Motors, Tata Power, Ranbaxy Laboratories, Reliance Capital, Adani Enterprises, Britannia Industries, Suzlon Energy, Unitech and Nalco are other prominent companies, which will announce their June quarter results this week.

“The results may turn the direction of specific stocks on either side. Other than that, there are no major cues for now. But we feel the overall market will remain range-bound with some positive bias. We don’t see any major changes by the US Federal Reserve in its policy this week,” said Deven Choksey, managing director of KR Choksey.

Meanwhile, the rate of food price inflation for the week ended on July 24 fell to 9.53 per cent from 9.67 per cent in the previous week.

The BSE Sensex rose 275.70 points, or 1.54 per cent, last week to end at 18,143.99. Nifty advanced 71.65 points, or 1.33 per cent, to 5,439.25.

“As expected, the market is clearly facing some resistance at a higher level as valuations are not very cheap. The first quarter results declared by various companies last week have not been very encouraging. It is likely that there will be profit booking after every rise. Volatility is likely to rise in the coming weeks and investors may increase exposure to equities only on sharp corrections to benefit from the volatility,” Kotak Mutual Fund said in a note.

The put-call ratios of Asian Paints, Federal Bank, SBI, Tata Chemicals and Dr Reddy’s for the near-month expiry, stood at 8, 1.17, 1.33 and 1.17, respectively on Friday, reflecting bearish sentiments on these counters.