The Indian equity benchmark indices, Sensex and Nifty ended lower for the week gone by, snapping a four-week gaining streak. The Nifty declined 0.7 percent, while the Sensex closed around 0.2 percent lower.

Investor sentiment weakened after the US Federal Reserve hinted at interest rate hikes by 2023 and taper the bond-buying programme.Technically, the benchmark Nifty was rising on slow momentum and formed a rising wedge bearish pattern which has eventually broken down.“As the market is still over-bought in the short term, Nifty index in expected to test 15,200 levels in the short term. There might not be a major decline immediately but profit booking cannot be ruled out. Immediate support and resistance are now placed at 15,350 and 15,900 levels,” said Nirali Shah, Head of Equity Research, Samco Securities.

Going ahead, markets are expected to witness some profit booking to a broad range-bound correction as news toggle between vaccinations and the new delta variant causing the third wave.

Meanwhile, any form of credit incentive to supplement health care infrastructure would be good news for equities.Analysts expect the market may consolidate for some time before resuming its rally and the trend remains intact for an up move towards the 16,000 mark.“Globally, investors would cautiously track what action does other Central Banks take following Fed hawkish announcement. On the domestic front, RBI’s step forward, monsoon, opening up of the economy in a phased manner and the pace of vaccination going forward would decide the further direction of the market,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services.

He advises traders to be cautious and adopt stock-specific approach as markets get volatile. On the other hand, long term investors can take advantage of this volatility and adopt buy on dips strategy, Khemka added.

Here are key global and domestic events scheduled for the next week that will impact the equity market.Earnings: Bharat Dynamics, Info Edge, Oil India, VST Tillers Tractors, Allcargo Logistics, Apollo Hospitals Enterprise, Ashok Leyland, Mishra Dhatu Nigam, ONGC, Hindustan Copper, Indraprastha Gas, JSW Energy, among others.

State Bank of India: The board of the country’s largest lender will meet on June 21 to seek approval for raising of AT 1 capital via public offer or private placement during FY22.

Annual General Meeting: Reliance Industries, Bajaj Consumer, Bank of Maharashtra, Tata Consumer Products, SBI.

Vaccination: The central government to start giving free vaccines to 18-year plus from Monday

Finance Ministry: The Ministry of Finance will hold a meeting on 22nd June with Infosys on the glitches in the recently launched E-Filing portal of the Income Tax Department. Other stakeholders including members from ICAI, Auditors, Consultants & Taxpayers will also be a part of the interaction.

15th Annual Biopharma & Healthcare Summit on  Tuesday, June 22

Global:China: loan prime rate (LPR) decision

European Central Bank: ECB President Lagarde will speak to a European Parliament committee

European Union: Consumer Confidence (June)

Federal Reserve: Fed Chairman Jerome Powell to testify in-person before House Select Subcommittee on the Coronavirus Crisis on “Lessons Learned: The Federal Reserve’s Response to the Coronavirus Pandemic”

United States: Building permits, new home sales (May), Current account, Manufacturing PMI, Services PMI.

Bank of Japan: BOJ to release minutes from April 26-27 meeting.

European Central Bank: ECB Vice President de Guidnos to speak

G20 – Labour and Employment Ministers’ Meeting

United States: Final GDP (Q1) Durable goods (May), corporate profits (Q1 revised), trade balance, initial jobless claims, KC Fed Survey.

Bank of England: BoE’s meeting

Europe: European council meeting in Brussels on June 24 & 25.