Pre-mkt: Markets likely to open cautious amid global cues

Markets are expected to open on a cautious note albeit with a slight positive bias on Wednesday.

At 8AM IST, SGX Nifty was up 15 points at 5,985.

According to the technical charts  “We could see some more upside in the near term, and the Nifty may look to stretch the rally to 6,100-odd levels. However, failure to sustain above 6,000-mark can trigger profit taking and the index can slip to near about 5,900-level. ”.

Meanwhile Asian shares traded mixed on expectations Federal Reserve Chairman Ben Bernanke will continue with the stimulus.

Bernanke is set to testify to Congress on Wednesday and Thursday, which could provide further clarity on when the US central bank will roll back its $85 billion a month bond-buying programme.

Among the key Asian indices, Japan’s Nikkei was down 0.7% to 14,489 in the opening deals.

Overnight, US stocks retreated after eight day of gains.

The Dow Jones industrial average slipped 32.41 points, or 0.21 percent, to end at 15,451.85. The Standard & Poor's 500 Index declined 6.24 points, or 0.37 percent, to finish at 1,676.26. The Nasdaq Composite Index fell 8.99 points, or 0.25 percent, to close at 3,598.50.