Sensex ends 137 pts down; IT nosedives ahead of Infosys nos

Indian equity benchmarks washed out some more gains on first day of the week due to sell-off in technology pack ahead of Infosys' first quarter numbers tomorrow. Global markets too were quite nervous on Italy debt concerns.

Ambareesh Baliga, COO of Way2Wealth said the market should possibly correct a bit more from here. Over the next couple of weeks, infact he sees the markets at slightly lower levels than above 5650.

"There are lot of macroeconomic issues, which are yet to be sorted out. So unless that is done we really can't expect a fresh bull market," Baliga explained.

The 50-share NSE Nifty traded in a range of 5610-5640, before closing down 44 points at 5,616. It was close to 5600 in the late trade but could not break the same level.

Manoj Murlidhar, Head of Derivatives, IIIFL Premia, India Infoline feels that 5530 to 5540 should be a good support level on the Nifty. "The range possibly remains a 5530 on the downside and somewhere close to 5680 on the upside which happens to be the weighted average price for the July series," he said.

Global markets were down ahead of European leaders meet on Italy concerns. There were reports that debt-laden Italy might be dragged into the European debt crisis.