Market Outlook 04/11/08

Market on the verge of break out..but caution ahead of U.S elections

Yesterday nifty rallied above 3000 and closed in a bullish note above 3000.Today, if stays above 3000, it will be total bullish and if not, might come down a bit.On global scenario, The Dow Jones industrial average closed 9,319.83-down 5.18 points from the previous close ahead of U.S elections today.Dow Jones moved in a range of 155 points and trading was quiet as it was evident that investors are more cautious and more focused on elections today.Stocks showed little lasting impact from the Institute for Supply Management report that its measure of U.S. manufacturing dropped last month to the lowest level since September 1982.The trade group said its index of manufacturing activity fell to 38.9 from 43.5 in September.The dollar rose against most other major currencies. Gold prices also rose.Light, sweet crude fell $3.87 to settle at $63.91 a barrel on the New York Mercantile Exchange.In indian market today, nifty above 3000 will test 3080 strong resistance and if breaks 3080, then move towards 3130 is on today.Higher level might exert pressure again.If nifty breaks 3000, then it will have strong support at 2960.Though market is looking bullish for today, trading might be cautious and indian investors also might be more focused on U.S elections today.

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