#MarketRebound Market rebound potential is currently being analyzed by various experts. Here's a snapshot ¹ ²:
- *Historical Trends*: According to Axis Securities, March has historically been a strong month for market recoveries with an average gain of 1.7% since 2009. The Nifty 50 index has shown resilience in years ending in odd numbers and following US presidential elections, with median returns of 17.1% and 21%, respectively.
- *Current Market Sentiment*: The S&P 500 Index has seen significant gains over the past two years, with some experts predicting more muted gains in 2025. Morgan Stanley expects muted gains in 2025 due to higher interest rates and geopolitical uncertainties.
- *Key Indicators*: Technical indicators suggest the market may be nearing a medium-term bottom. The Nifty 50 index has entered a critical support zone defined by the 100-week Moving Average Envelope, which has historically contained declines except during extreme events.
- *Sector Performance*: Six out of 11 sectors are oversold based on their 14-day RSI, and all sectors are trading below their 200-day moving averages. This could signal a potential rebound opportunity.
Some key market metrics to watch include ³ ⁴:
- *S&P 500*: Currently trading at 5,117.60 with a 3.45% decline.
- *Nasdaq*: Trading at 17,640.80 with a 3.71% decline.
Investors are advised to allocate long-term capital between 21,700 and 22,000, according to Axis Securities. However, it's essential to consider multiple perspectives and expert opinions before making investment decisions.