Pre Open Market Commentary

Indian market is likely to open lower today. Yesterday, market closed lower on back of profit booking by the participants. As a result BSE sensex closed at 14478.19 down by 37.71 points and Nifty was down by 19.45 points to close at 4195.90. The outlook for the market is cautious and some profit booking may be seen, as the global cues are not impressive.

Tuesday, US markets closed with modest gains as investors found little motivation on back of Fed remarks which made no mention of interest rates or the economy and also shrugged off a warning from chip maker National Semiconductor Inc. DOW closed up 4.57 points at 12666.31 and NASDAQ was up by 0.89 points to close at 2471.49.

Indian ADRs closed mixed on Tuesday. In the technology sector, while Infosys ended down 0.37% and Sify edged up 2.38%, Wipro gained 0.91% and Satyam up 1.27%. Tata Motors ended up 0.53%. Among banks, HDFC Bank closed flat and ICICI Bank edged up 1.33%. In the telecom space, Videsh Sanchar Nigam slipped 3.57% and MTNL ended down 1.07%.

The major stock markets in Asia are trading lower on Wednesday. Nikkei 225 index slipped 168.18points at 17238.68. Hang Seng was down 15.03 points at 20640.17, KOSPI plunged 5.53 points at 1423.05 while Straits Times rose 11.28 points at 3234.53. Oil price closed below at $59 a barrel.

Today, Nifty has support at 4175 and resistance at 4,225 and BSE Sensex has support at 14,275 and resistance at 14,575. However, it is our advice to watch trading session carefully.