Pre Open Market Commentary

Indian market is likely to open on cautious note today. Yesterday, market ended in green amid higher volatility due to concerns on Budget. BSE sensex closed at 13649.52 up by 16.99 points while Nifty was up by 3.05 points to close at 3942.00. The outlook for the market is cautious. Monday, US markets closed lower on back rise in oil price and offsetting the latest deal-making news, including the $45 billion takeover of TXU Corp., the largest private-equity deal to date. DOW closed down 15 points at 12632 and NASDAQ was 10.58 points down to close at 2504.52. The major stock markets in Asia are trading lower on Tuesday. Nikkei 225 index was 6.94 points down at 18208.41. Hang Seng was down by 104.48 points at 20403.47 and Straits Times slipped 62.79 points at 3245.13. Oil prices traded above $61 a barrel.Today, Nifty has support at 3865 and resistance at 3975 and BSE Sensex has support at 13,480 and resistance at 13850. However, it is our advice to watch trading session carefully. FIIs were net purchasers to the tune of Rs4287.20crores in equity (provisional) on 26th February 2007. Mutual funds were net purchasers to the tune of Rs37.21crores in equity (provisional) on 23rd February 2007.