Pre Session Market

The Market is likely to have negative opening, as the cues from global markets are not in favor. The market surged yesterday to hit new landmarks by creating a rally over the sectoral indices scrips on the back of heavy buying across the counters. Both the benchmark indices closed lifetime high with handsome gains. The investors showed more interest in buying rather than selling. On Tuesday, the BSE Sensex surged 360.21 points to close at 20,290.89 and NSE Nifty closed higher by 136.65 points to closed at 6,097.25. We expect the market to remain sideways during the trading session.

The much-awaited Federal Reserve decision on interest rate cut comes to an end as the US Federal Reserve cuts its benchmark interest rate by a quarter point to 4.25% but kept the doors opens for another rate cut if the credit squeeze and housing slump worsen. In line with this, the Central bank also cut the discount rate to 4.75% i.e by a quarter point.

On Tuesday, the US market closed in red. The DJIA closed lower by 294.26 points at 13,432.77. The S&P 500 index slipped by 38.31 points to close at 1,477.65 and NASDAQ fell 66.60 points to close at 2,652.35.

Indian ADRs ended in negative territory. In technology sector, Satyam fell (7.33%) along with Wipro by (5.18%), Infosys by (4.02%) and Patni computers by (3.77%). In banking sector, HDFC bank and ICICI bank slipped by (2.44%) and (1.99%) respectively. In telecommunication sector, VSNL dropped by (5.16%). Sterlite industries fell by (2.81%).

The major stock markets in Asia are trading weak. Hang Seng is trading lower by 772.56 points at 28,454.28. Japan''s Nikkei is trading down by 294.85 points at 15,749.87. Taiwan Weighted is trading at 8,457.55 fell by 180.78 points. Seoul Composite is trading down by 28.01 points at 1,897.06. Singapore Strait Times slipped by 63.61 points at 3,525.42.

Today, Nifty has support at 5,962 and resistance at 6,139 and BSE Sensex has support at 19,928 and resistance at 20,396.