Indian Stock Markets are expected to open flat - Angel Broking

The Indian markets are expected to open flat, tracking flat to negative opening in most of the Asian markets led by decline in mining companies after commodity prices slumped on concern a weaker outlook for global economic growth will crimp demand for raw materials.

The US markets fell sharply yesterday to reclaim much of the prior day's advance, with sentiment hit by disappointing company results and an Apple Inc. supplier's tepid outlook. The pullback by stocks was partly due to a disappointing batch of earnings news from big-name companies such as Bank of America and weak outlook from companies like Yahoo and Intel. The weakness on Wall Street also came amid news that a letter addressed to President Barack Obama tested positive for the poison ricin. The European markets extended their recent losing streak to a fourth consecutive session on Wednesday led by rumors that the Germany may be facing a sovereign downgrade. In addition, the French public debt is likely to increase one more year than expected to peak at 94.3% of GDP in 2014, the government's budget plan showed Wednesday.

Meanwhile, Indian markets ended largely unchanged in yesterday's trading session, as weak European cues prompted investors to adopt a cautious stance following two days of gains.

The trend deciding level for the day is 18,758 / 5,697 levels. If NIFTY trades above this level during the first half-an-hour of trade then we may witness a further rally up to 18,843 - 18,955 / 5,724 - 5,760 levels. However, if NIFTY trades below 18,758 / 5,697 levels for the first half-an-hour of trade then it may correct up to 18,646 - 18,562 / 5,661 - 5,633 levels.

Source : Equity Bulls

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