Inflationary pressure as well as tightening monetary policies around the globe are likely to subdue India's key equity market indices during the upcoming week.
Besides, the underwhelming corporate results till now along with the recent rise in global crude oil prices and a weak rupee are expected to support this trend.
"Sustained high inflation and tightening monetary policy globally are bringing caution among the participants," said Deepak Jasani, Head of Retail Research, HDFC Securities.
"IT sector could continue to underperform post Infosys results and guidance. Some other prominent companies from Cement, Financial services, IT, FMCG etc are scheduled to announce their Q4 results and can influence their respective sectoral moves."
Furthermore, Jasani expects that Nifty could now take support from 17,287-17,330 band and face resistance from 17,639-17,784 band over the next few days.
Apart from inflationary pressure, the rest of Q4FY22 results will be the other major factor steering the market movement.
Next week, NTPC, ACC, BPCL and Larsen & Toubro Infotech are expected to come out with their respective Q4FY22 earning results.
"Going ahead, market is likely to remain volatile till the inflationary pressure persists, raising scope for aggressive rate hike by Central Banks globally," said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services.
"Overall, we expect healthy 4QFY22 earnings which should drive the stock specific action in the market."
Additionally, investors will look forward to the macro-economic data points of WPI (Wholesale Price Index).
"Markets are expected to be volatile in the short term due to rising inflation on one hand and Q4 results on the other," said Kshitij Purohit, Lead of Commodities and Currencies CapitalVia Global Research.
"The upcoming WPI as well as crude oil price movement will be major factors for the market to move forward."