Wednesday, April 1, 2009


Key points
■ Market outlook — Open positive on positive global cues
■ Positive — Rupee expected to gain further, higher Asian cues
■ Negative – FII selling may have started again

Market outlook

■ Indian markets are likely to open firm following the strong trading session yesterday. We need to see whether the Sensex can break its recent high of 10200 odd. If it is able to sustain above these levels and trade there for a couple of sessions then we may see the up move gathering momentum. On the lower side if it breaks the range of 9200- 9400, then we may see some weakness creeping in again. For the positional traders we would advise trading in this range and look out for a decisive break of the range on either side to take aggressive trading positions. For a while we feel we would trade in this range and could witness some stock specific activity

■ The Sensex has supports at 9630 and 9550 and resistances at 9910 and 10010. The Nifty has supports at 2980 and 2920 and resistances at 3160 and 3190

■ Asian stocks were trading strong in the morning session. The Nikkei was up more than 2% and so was the Kospi. The Hang Seng and Straight Times were trading marginally in the green

■ US stocks climbed on Tuesday, driving the S&P 500 to its best month since October 2002, as investors snapped up top-performing bank and technology shares as the first quarter came to an end. The Dow gained 86.9 points, or 1.16%, to 7,608.9. The S&P 500 added 10.3 points, or 1.3%, to 797.8. The Nasdaq climbed 26.8 points, or 1.8%, to 1,528.6. Data showed business activity in the US Midwest shrank in March at the most severe rate since 1980 while house prices sank a
record 19% in January from a year earlier

■ Stocks in news: Kalpataru power, Aurobindo Pharma, Wockhardt

To see full report: OPENING BELL 010409