Indian Markets look forward to RBI policy - Angel Broking

Indian markets are expected to open flat to positive tracking positive opening in SGX Nifty and mixed opening in most of the other Asian markets.

The US market started the week on a down note, posting a modest decline on Monday as pending home sales fell 0.4%in June due to rising mortgage rates. The investors are cautiously waiting for the other key events later this week which includes outcome of the Federal Reserve's two-day monetary policy meeting that begins on Tuesday, the monthly jobs report and the initial report on second quarter GDP. Meanwhile, the European markets ended Monday's session with mixed results. Some positive sentiment was generated by some upbeat earnings news and M&A activity, but China remains a concern among investors.

Meanwhile, Indian shares fell for a fourth consecutive session on Monday, as investors adopted a cautious stance ahead of the Reserve Bank of India's firstquarter review of its monetary policy. The Finance Minister P Chidambaram stated that price stability cannot be the only mandate of a central bank and said there is a need to relax rules to attract more foreign investments.

The trend deciding level for the day is 19,638 / 5,848 levels. If NIFTY trades above this level during the first half-an-hour of trade then we may witness a further rally up to 19,706 - 19,819 / 5,870 - 5,908 levels. However, if NIFTY trades below 19,638 / 5,848 levels for the first half-an-hour of trade then it may correct up to 19,526 - 19,458 / 5,810 - 5,788 levels.

Source : Equity Bulls

Keywords