Pre Session Market

Indian market is likely to have a negative opening, as the Dow and Asian markets are down about 2-3%. On Friday, the benchmark index Sensex slipped by 438.41 points to close at 17,559.98, whereas Nifty closed at 5,215.30 down by 135.70 points. We expect that the market may trade volatile during the day. The investors may show cautious approach, as they are not sure about the market movement. Further the CPI(M)''s demand for a complete ban on participatory notes may have a severe impact on the market.

Wednesday, the US markets closed with heavy losses as the Dow Jones Industrial Average (DJIA) dropped by 366.94 points to close at 13,522.02. Further the NASDAQ Composite & S&P 500 (SPX) index also plunged by 74.15 points & 39.45 points to close at 2,725.16 & 1,500.63 respectively.

Indian ADRs ended with heavy loss, in telecommunication sector, VSNL & MTNL slipped by (7.36%) & (5.53%) respectively. In metal sector, Sterlite Industries plunged by (9.53%). ICICI bank & HDFC bank dropped (1.09%) and (1.98%) respectively. In technology sector, Satyam decreased by (3.06%) along with Wipro by (4.11%) and Infosys by (1.58%).

The major stock markets in Asia are also trading in red territory. Hang Seng is trading with heavy loss of 943.35 points at 28,521.70. Japan''s Nikkei slipped 537.27 points to trade at 16,277.10. Along with these, Singapore''s Straits Times index is also trading lower by 82.53 points at 3,665.45 and Seoul Composite is down by 71.51 points to trade at 1898.59.

On Friday, FIIs stood as net buyers as the gross equity purchased was Rs.8355.00 (in crores), and the gross debt purchased was Rs.59.50 (in crores) as against the gross equity sold was Rs.8229.40 (in crores) and the gross debt sold was Rs.29.40 (in crores). The net investment of equity was Rs.125.60 (in crores) and the net debt investment was Rs.30.10 (in crores).

Today, Nifty has support at 5,060 and resistance at 5,295 and BSE Sensex has support at 17,180 and resistance at 17,769.