Market may exhibit strong volatility

The market is likely to remain uncertain on the back of a strong intra-day volatile moves. However, weak Asian indices in current trades may add some pressure from local indices in morning trades. Among the local indices, in the near term the Nifty could test 4870 on the upside while on the downside the index may get support at 4790. The Sensex is likely to get support at 16024 and may face resistance at 16400.

US indices declined marginally on Friday, with the Dow Jones lost 22 points to close at 9605 and the Nasdaq to end 3 points lower at 2081.

Among the ADR,s, Tata Motors was the biggest loser and dropped over 3.13% followed Patni Computers and Satyam declined 2% each, while Infosys, Dr Reddy and Reddy were down around 1% each. However, Wipro, ICICI Bank, HDFC Bank, MTNL and VSNL closed in positive territory with marginal gain.

Crude oil prices lost sharply, with the Nymex light crude oil declined $2.64 at $69.29 per barrel. In the metals segment, the Comex gold for June series gained $9.60 to settle at $1006.40 an ounce.

Daily trend of FII/MF investment in equities
On September 10 2009, FIIs were net buyers of stocks to the tune of Rs575 crore (purchases worth Rs2999 crore and sales of Rs2424 crore) while domestic mutual funds were net sellers of stocks to the tune of Rs343 crore (purchases worth Rs631 crore and sales of Rs977 crore.