Market may remain volatile

Market may open on a weak note as Asian indices are trading in the mix in morning trades followed by overnight gains in the US markets may keep the market volatile. Pressure on the liquidity front due to institutional investors are net sellers of equity could make the investors jittery. On the upside, the Nifty could test the recent high around the 3750 level and may witness support around the 3600 level. The Sensex has a likely support at 12500 and may test higher levels of 12800.

US indices edged up on Wednesday as Iran's plans to release captured British troops which led to a decline in oil prices, with the Dow Jones adding 20 points to close at 12530 while the Nasdaq gaining by 8 points at 22459.

Losers outpaced the gainers among the Indian stocks trading on the US bourses. Among the major losers Wipro, Dr Reddy's, Tata Motors, HDFC Bank, MTNL and VSNL fell around 1% each, while Infosys, ICICI Bank, Rediff and Patni Computers were marginally up.

Crude oil prices in the global market declined yesterday. The Nymex light crude oil for May series slipped by 26 cents at $64.38 per barrel. In the commodity segment, the Comex gold for June delivery rose by $7.70 to settle at $677.40 an ounce.