Thursday, April 2, 2009

>Daily Market & Technical Outlook (ICICI Direct)

Key points
■ Market outlook — Open positive on strong global cues
■ Positive — FIIs & MFs buying, rupee expected to gain
■ Negative – February exports slide 21.7%

Market outlook
■ Indian markets are likely to open positive, taking cues from global markets. The SGX Nifty was trading 40 points up in the morning. Other Asian markets were also sharply higher after economic data from the US raised hopes the recession there may be moderating. Rise in pending home sales and a smaller-than-expected fall in factory activity saw industrial and construction stocks rise, pushing US markets up as much as 2%. The rupee is expected to extend gains, helped by gains in regional stock markets but dismal export data may limit the rise

■ The Sensex has supports at 9850 and 9750 and resistances at 10100 and 10170. The Nifty has supports at 3050 and 3020 and resistances at 3120 and 3140

■ Inflation for the week ended March 21 is expected around 0.18% as against 0.27% for the previous week

■ Asian stocks rose as better-than-expected auto sales and economic reports in the US lifted investor’s confidence that the world’s largest economy will stage a recovery. The Nikkei gained 251.6 points, or 3.0%, to trade at 8,603.5. The Hang Seng advanced 486.0 points, or 3.6%, to trade at 14,005.6

■ US stocks climbed on Wednesday as factory and home sales data raised hopes the economic downturn is moderating, sparking a broad advance. The Dow Jones gained 152.68 points, or 2.01%, to 7,761.60. The S&P 500 added 13.21 points, or 1.66%, to 811.08. The Nasdaq climbed 23.01 points, or 1.51%, to 1,551.60

■ Stocks in news: Gati, L&T, HCC, Piramal Healthcare, Wockhardt, Glenmark Pharma, NTPC

To see full report: OPENING BELL 020409