P.K. Agarwal, president-research, Bonanza Portfolio, giving his opinion on today`s market performance said, ``Today was an important day for Indian markets, as Nifty tested the previous low of 3,790. Nifty made new low for 200 at 3,777 and closed also at the year`s low of 3,850.``

He said, ``Banking, IT were the major losers, selling was also seen in ICICI Bank, Satyam, Suzlon, TCS. Some buying was in Tata Comm, GAIL, ONGC and Hind Unilever. It is important to watch the band 3,770-3,800 which may emerge as support.
Resistance is likely near 4,000.``

Alex Mathew, head - Research Centre, Geojit Financial Services, discussing the market performance of the day, said, ``Nifty has tested an intraday low of 3,777.3 and finally closed marginally higher at 3,850. After the Tsunami in US financial sector, the shocks have spread across the globe. Major indices were down nearly 2.5% to 3.5%. Fortis, Bradfort, Wachovia (No: 6 US bank) and Bingley were the epic centre for the fall in the financial market. The report on Man Group (Britain) that it`s `first half earnings would fall down due to market turbulences` and Chinese insurer Ping An `would absorb larger than expected losses from its 5% stake in Fortis` also cause wide spread selling.``

He said, ``Lot of heavy weights stocks hitting 52 week lows caused panic delivery based selling from HNI`s. In the F&O segments a lot of stocks futures recorded

higher amount of open interest addition supporting portfolio hedging and fresh short positions.``

``Bush administration`s bailout package can give minor support to global markets and it will give strength to US dollar. Rupee has depreciated and is likely to fall towards 47.5 and more. Crude will tumble towards USD 88 due to strong dollar,`` he added.

``Nifty has support at 3,780 but closing down below this level can cause further down trend,`` he opined.

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