Market may remain volatile

Market may open on a positive note as Asian indices are trading in the mix in morning trades followed by mix trend 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 2700 level and may witness support around the 2600 level. The Sensex has a likely support at 8500 and may test higher levels of 8800.

US indices remained flat on Tuesday as investors welcomed the government's latest efforts to jumpstart lending, but remained cautious, with the Dow Jones adding 36 points to close at 8479 while the Nasdaq decline by 7 points at 1465.

Crude oil prices in the global market declined yesterday. The Nymex light crude oil for January 09 series slipped by $3.73 at $50.77 per barrel. In the commodity segment, the Comex gold for February 09 delivery rose by 10 cents to settle at $820.50 an ounce.