Indian Market to open on negative note - Angel Broking

The Indian market is expected to open on a negative note following weak start to SGX Nifty and major Asian Indices amid concerns of the deepening Europe's debt crisis and after decline in pending US home sales which are expected to dampen earnings prospects for Asian exporters.

The US markets staged a significant recovery over the course of the trading day on Wednesday, after coming under pressure in early trading. The early weakness on Wall Street was partly due to profit taking, as some traders cashed on the recent strength witnessed in the markets. Most of the European bourses finished the trading session on Wednesday in the negative territory. The situation in Cyprus continues to weigh on investor sentiment and political developments in Italy added further pressure. In Italy, the political situation has become uncertain, after Pier Luigi Bersani has announced that he will not attempt to put together a coalition government.

Meanwhile, Indian markets remained closed on Wednesday on account of holiday for Holi. The Indian markets witnessed a bout of volatility on Tuesday, however ended modestly higher. The choppiness was partly due to the F&O expiry slated for today.

The trend deciding level for the day is 18,692 / 5,636 levels. If NIFTY trades above this level during the first half-an-hour of trade then we may witness a further rally up to 18,771 - 18,838 / 5,661 - 5,680 levels. However, if NIFTY trades below 18,692 / 5,636 levels for the first half-an-hour of trade then it may correct up to 18,625 - 18,545 / 5,617 - 5,593 levels.

Source : Equity Bulls

Keywords