The Hindu Business Line : Bull onslaught

Bear domination on Monday is likely to change the sentiment reading to bearish. Otherwise, the prevailing bullish sentiment is likely to be further strengthened.

Nifty futures recommendation: Initially, the near month September contract lost around 4 points, thereafter made steady gains through the day's trading. The September contract moved within a band of 30 points. It closed higher for the week with a strong bullish note.

Bull domination led to the reversal of the downtrend in the September contract.

The short trade exited with a loss of 18 points. The initiated long position is likely to continue on Monday.

The exit and bearish trigger levels for the September contract are placed slightly away from its current level.

Stock futures recommendation: The composition of the most active counters list remains intact. The ranking of the list had some changes. State Bank of India moved to the fifth position and ACC to the seventh position.

Trading activity in Cipla was quite hectic on Friday with more than 2,190 trades.

Bear move on Monday could be a threat to the prevailing uptrend counters in the tradable list. On the contrary, the downtrend in Maruti, ONGC and Tata Motors are likely to be terminated. Bulls are likely to have opportunity in three counters.

Selling opportunities are likely to exist in six counters. Buying in Maruti is likely to be the best for Monday's trading. Bullish trigger level for this counter is placed very close to its last traded price. Bull pressure on Monday is likely to initiate the uptrend in Maruti.

Cash segment: There were no new entries or exits to the top-10 tradable list in this segment. The ranking of the list too remains unchanged. Friday's market action had no impact on the recommended counter - Infosys.

Bull pressure on Monday is likely to terminate the prevailing downtrend counters. On the other hand, the four uptrend counters in the list are likely to be under threat.

Buying opportunities are likely to exist in six counters. Selling opportunities are likely to exist in three counters.

Buying in State Bank of India is likely to be the best bet for Monday's trading. Buy level for this counter is placed Rs 2 from its current level.

Bull move on Monday has the potential to trigger the uptrend in State Bank of India.

(Note: All price levels refer to the absolute value of the shares traded on the NSE. There is risk of loss in trading.)

The author is a technical analyst and fund management consultant.