Firm global indices signal positive outlook

Following gains of over 650 points last week, the market bias may remain positive on strong fund buying into the local market and surging international indices. However, global crude oil prices trading above $117 a barrel and the continuing tension in the middle-east may hurt sentiment. Among the local indices, the Nifty could test 4975 and 5000 on the upside and may slip to 4900 on the downside. The Sensex has a likely support at 16400 and may face resistance at 16550. On the earnings front Axis Bank, Escorts, Glaxosmith, Jain Irrigation System, Macmilan Industries, Satyam Computer, TCS, United Spirits and United Breweriesare expected to announce their quarterly numbers.

Major US indices registered significant gains on Friday, with the Dow Jones flared up by 229 points at 12849, the Nasdaq moved up by 61 points to close at 2403.

All of the Indian ADRs traded firm on the US bourses. Satyam Computer led the pack with gains of over 7% while Wipro, Infosys, Rediff, MTNL, HDFC Bank, ICICI Bank, Patni Computer and Tata Motors jumped over 1-5% each. While, Dr Reddy's ended with the marginal gain of 0.26% and VSNL remained unchaged.

Crude oil prices gained, with the Nymex light crude oil for May 08 delivery soared by $1.83 to close at $117 a barrel and in the commodity space, the Comex gold for June delivery lost $27.70 to settle at $915.20 an ounce.