Indian Markets expected to open in red today - Angel Broking

The Indian markets are expected to open in the red, tracking negative opening in most of the Asian markets as fears about the strength of the Chinese economy prevailed and a steep fall in commodity prices prompted the worst sell-off in five months on Wall Street.

The US markets ended modestly lower on Monday as disappointing economic data from the US and China weighed on investor sentiment along with news of two explosions at the Boston marathon. China's first quarter GDP came in at 7.7% against 7.9% growth in the fourth quarter. Also, the New York Federal Reserve released a report showing that its index of regional manufacturing activity fell to 3.1 in April from 9.2 in March. Additionally, the National Association of Home Builders released a report showing an unexpected drop in homebuilder confidence as the NAHB/Wells Fargo Housing Market Index fell for the third straight month, dropping to 42 in April from 44 in March.

Meanwhile, Indian markets rose on Monday, as soft inflation numbers (WPI dropped to 5.96% in March) raised hopes the RBI would cut interest rates when it reviews its monetary policy on May 3.

The trend deciding level for the day is 18,309 / 5,554 levels. If NIFTY trades above this level during the first half-an-hour of trade then we may witness a further rally up to 18,473 - 18,589 / 5,607 - 5,646 levels. However, if NIFTY trades below 18,309 / 5,554 levels for the first half-an-hour of trade then it may correct up to 18,193 - 18,029 / 5,515 - 5,461 levels.

Source : Equity Bulls

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