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Friday, July 24, 2009

Gains may continue


Yesterday's pullback and firm economy outlook may help the market advance further. Asian indices are displaying a subdued trend in the ongoing trades and may exert some pressure on the domestic indices. However, players are maintaining their bets on almost all the sectors. Among the key local indices, the Nifty has a support at 4475 and a break below this level could see it slip further to 4425-4375, while on the upside the index could test higher level at 4575. The Sensex has a likely support at 15100 and may face resistance at 15400.

Major US indices registered significant gains on Thursday, th the Dow jumping 200 points and hitting its highest point since November, as investors welcomed better-than-expected quarterly results and home sales. While the Dow Jones flared up by 188 points at 9069, the Nasdaq moved up by 47 points to close at 1974.

All the Indian ADRs traded firm on the US bourses. Satyam led the pack with gains of 11.61% while Infosys, MTNL, ICICI Bank, Dr Reddy, Tata Motors and Rediff jumped over 3-4% each. Wipro, VSNL, HDFC Bank and Patni Computers closed with marginal gains.

Crude oil prices eased, with the Nymex light crude oil for September delivery advanced by $1.76 to close at $67.16 a barrel. In the commodity space, the Comex gold for August delivery gained by $1.50 to settle at $954.80 an ounce.