Bias may remain positive

After witnessing the surge on Friday the market is expected to make further headways on firm Asian markets, which are up over 1% in current trades. With no clear direction to proceed, the market is witnessing the brief periods of optimism and threats. The market may see some short-term profit bookings in frontline stocks might creat volatility in the afternoon trades. Among the domestic indices, the Nifty could test higher levels of 4200 and may dip to 4040 on the downside. The Sensex has a likely support at 13700 and may face resistance at 14300. Major US indices registered significant gains on Friday, after a mild reading on inflation and a weak reading on retail sales raised hopes that the Federal Reserve might cut rates later in the year. While the Dow Jones flared up by 111 points at 13326, the Nasdaq moved up by 28 points to close at 2562. All the Indian ADRs traded firm on the US bourses. MTNL led the pack with gains of over 4% followed by Rediff and ICICI Bank gaining over 3%, while Infosys, Satyam, Wipro, HDFC Bank, Dr Reddy's Lab, Tata Motors and VSNL jumped over 1-2% each. Crude oil prices rose on Friday, with the Nymex light crude oil for June delivery gaining 56 cents to close at $62.37 a barrel. In the commodity space, the Comex gold for June delivery gained $5.30 to settle at $672.30 an ounce.