Indian stock markets have remained in narrow trading range on Friday. The markets haven't factored in the robust IIP data for July and even the currency markets show weakness in Indian rupee. Market experts were expecting the markets to rise in today's trade on expectations of improvement in Indian economy.

Recent import/export data from China has also pointed towards sustained economic recovery. The demand from Europe and United States has increased and production from China and India has also witnessed strength.

Indian market should also get support from the views of analysts suggesting that stimulus tapering from Federal Reserve has already been factored in the stock prices in emerging markets. If economy improves in India, the stock markets should see more investments. However, Indian government should consider long term investments over hot money coming in stock markets. The government has many high investment proposals waiting for clearance. If these investment proposals are allowed, the economy will get immense support and also the investor confidence will return.

In today's session, BHEL, PNB, DLF and JP Associates were trading strong. JP Associates was beaten badly in yesterday's trade, so this should be considered as technical pullback. Major losers were HCL Technologies, Bharti Airtel, Infosys and UltraTechCement. Markets are expected to remain in small range for rest of the trading session.