Q4 results, Lok Sabha elections to decide stock markets direction

The movement is likely to be heavily influenced by political newsflow, with less emphasis on corporate results

The Nifty is testing resistance close to its all-time high, but there are also signs of nervousness. The next six weeks will see release of fourth quarter corporate results and more importantly, in terms of sentiment, there are general elections. 

There could be violent swings in this period. The Reserve Bank of India (RBI) monetary policy review declared a rate cut but that had been discounted. The market has seen net losses since then. The RBI is also going to infuse more liquidity. Balanced against that, it cut estimates and warned about a likely slowdown. 

The foreign portfolio investors remain