Indian Markets expected to open Monday on negative note - Angel Broking

Indian markets are expected to open on a negative note tracking negative opening in SGX Nifty and most of the Asian markets.

The US market moved mostly lower over the course of the trading day on Friday, partly due to profit booking by traders on some of the recent gains. Renewed concerns about the outlook for the Federal Reserve's stimulus program and worries about a potential government shutdown on account of stand-off over President Barack Obama's healthcare reform law also weighed on the markets. Meanwhile, the European markets ended Friday's session with mixed results. Banks and mining stocks, which were among the best performing stocks yesterday, were weak today. Investors were reluctant to take positions ahead of the German elections, which will take place on Sunday.

Indian shares fell sharply on Friday, as investors booked some profits following the previous session's Fed-inspired rally. Sentiment took a hit after the Reserve Bank of India unexpectedly raised the repo rate by 25 basis points in a bid to contain inflation.

The trend deciding level for the day is 20,331 / 6,025 levels. If NIFTY trades above this level during the first half-an-hour of trade then we may witness a further rally up to 20,611 – 20,958 / 6,118 – 6,223 levels. However, if NIFTY trades below 20,331 / 6,025 levels for the first half-an-hour of trade then it may correct up to 19,984 –19,704 / 5,920 – 5,827 levels.

Source : Equity Bulls

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