For next week the markets are likely to remain range bound and might be so, at least until the elections are complete.

Key results will drive individual stock prices with the broad markets languishing. On Friday, the markets dropped sharply thanks to a near 6 per cent drop in the stock price of Tata Consultancy Services. Most of the results which came in were in line with expectations or slightly ahead of estimates. Yes Bank, HDFC Bank, Wipro and Reliance were slightly better than estimates.

The stock prices of Wipro and Reliance may react positively on Monday after their results were announced after market hours on Friday.
ITC also posted results that were in line with estimates and the stock ended the day lower on Friday. Next week there are not too many triggers except the results from key corporate, including heavyweights like HDFC and Larsen and Toubro. This would lead to volatility in individual stocks with the broad markets moving in a tight range.

The following week markets are likely to eye the Monetary Policy and the Fed meet. It's likely that the Fed would keep on hold its QE3 easing programme, while the RBI is likely to keep interest rates on hold. Read more on qe3 here

All in all it's going to be a lackluster market and a sell on rally is on the cards. It's difficult to see the markets rallying substantially from here at least until the elections are over. Buying from FIIs also has not been substantial, suggesting that these set of investors are adopting a wait and watch policy.

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