Market may remain volatile

The market may exhibit a cautious trend as US indices closed on a firm note yesterday and Asian indices are exhibiting mixed trends in the morning trades. Although the bias remains positive, yet investors should maintain caution as profit taking at higher levels may pull down the market. The market is likely to remain under pressure on account of unwinding of positions ahead of the June series derivative contracts. Among the local indices, the Nifty could test 4460 and 4410 on the downside while on the upper side it may move up to 4540. The Sensex has a likely support at 15000 and may face resistance at 15225.

US indices advanced on Thursday with the Dow Jones gaining 34 points to close at 12063 and the Nasdaq rising by 32 points at 2462.

Indian ADRs had a mixed outing on US bourses. Dr Reddy's lost 2.55% followed by ICICI Bank and Patni Computers with a loss of 2% each. Tata Motors, Rediff and HDFC Bank shed around 1% each. However, MTNL gained 3.59%; Infosys, Satyam and Wipro all gained above 2% each and VSNL moved up marginally.

In the crude oil front, the Nymex light crude oil for July series lost sharply by $4.75 to close at $131.93 per barrel. The bullion Comex gold for August delivery gained $10.70 to settle at $904.20 a troy ounce.