Indian share prices are expected to be volatile and could correct further on persistent credit concerns in the US, dealers said. They said that fresh buying opportunities could be limited after a sharp run-up in 'momentum' stocks in recent weeks.
For the week to November 16, the Mumbai stock exchange's benchmark 30-share Sensex index surged 4.18 percent or 790.76 points to close at 19,698.36.
With the quarterly earnings season over, the next trigger for the markets could be global factors, dealers said.
"There are few local buying triggers. The impact in coming weeks could be seen from Asian and US markets," said a dealer with brokerage ULJK Securities. At Friday's level, India's stock markets have risen 42.87 percent this year, led by record overseas fund flows of 17.24 billion dollars.
In November so far, overseas and local mutual funds are net sellers of Indian equities, locking in gains at higher levels.
Overseas funds have sold Indian stock worth 52.4 million dollars while local funds have sold another 8.92 million dollars' worth in November. Global investment bank Merrill Lynch expects a pullback in the Indian markets, though the long-term trend remains up.
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