NIFTY BREAKS IMMEDIATE SUPPORT

NIFTY BREAKS IMMEDIATE SUPPORT

WORLD MARKETS

US indices ended mixed with Dow closing a tad lower and S & P 500 ending flat while Nasdaq gained 0.1% on the back of weakness in oil prices and ahead of Fed Chair Janet Yellen's testimony.

Federal Reserve Chair Janet Yellen testifies before both houses of Congress on Tuesday and Wednesday.

Nymex oil fell $1.36 to $49.45 a barrel.  Brent fell $1.32 to $58.90.

Existing home sales dropped 4.9 percent in January, their lowest level in nine months

European markets, except a marginally lower FTSE, gained between 0.6%-1% as investors cheered a deal to extend Greece's bailout program by four months.

To secure the financial lifeline, however, Greece must present a list of reform proposals - expended Monday or Tuesday.

                                                             

AT HOME

After trading in a narrow range for better part of the day, benchmark indices saw a sharp sell-off in late noon trade to end lower by nine tenth of a percent, extending the losing streak to second day. Sensex fell 256 points to settle at 28975 while Nifty finished at 8754, down 79 points. BSE mid-cap and small-cap indices lost 0.8% and 0.3% respectively. All the BSE sectoral indices ended in red with Consumer Durable and Oil & Gas indices leading the tally, giving away 2% and 1.9% respectively.

FIIs net bought stocks, index futures and stock futures worth Rs 602 cr, 122 cr and 530 cr respectively. DIIs were net sellers to the tune of Rs 164 cr.

Rupee depreciated 10 paise to end at 62.32/$.

OUTLOOK

Today morning Asian markets are trading mixed with modest changes and SGX Nifty is suggesting a marginally higher start for our market.

Nifty yesterday broke the immediate support placed around 8800, thereby generating a sell on the hourly chart. This opens up the possibility of the further fall to around 8640, where the 34-DMA is placed.

On the way up, immediate resistance on the hourly chart is placed around 8850, with the stop loss of which short positions can be held on to.

Government will introduce amendment to land acquisition bill in Lok Sabha today.