The Hindu Business Line : Bulls prevail

BULLS maintained their pressure on Thursday's trading. The sentiment reading of the tradable counters stands bullish. Bear domination on Friday is likely to change the sentiment reading in their favour. Otherwise, the prevailing bullish sentiment is likely to be further strengthened.

Nifty futures recommendation: The November contract opened with a bull gap of 14 points and moved further by another 14 points. Bears were unable to make any impact during the day's trading. The November contract moved within a band of 20 points. It closed with a gain of 21 points with respect to Wednesday's close.

Click here for table

The long trade in the expired October contract is likely to be closed out at 1800.55. This leaves the trade with a profit of around 15 points. Fresh entry levels are given for the November contract. Bullish trigger level is placed quite closer to its current level. Bull move on Friday is likely to initiate a fresh uptrend in the November contract.

Stock futures recommendation: Thursday's market action had no impact on the recommended counter — ONGC.

The positions in the expired October contract shall be automatically closed-out with the corresponding underlying cash market closing prices. Except for Reliance, all the other counters in the list are in the sideways mode. Bull pressure on Friday is likely to terminate the lone downtrend counter in the list. Bears are likely to have opportunity in four counters. Buying opportunities are likely to exist in almost all the counters. Selling in ONGC is likely to be the best for Friday's trading. Bear move on Friday has the potential to initiate the downtrend in ONGC.

Cash segment: There were no new entries or exits to the top-10 active counters list. The ranking of the list underwent a change. Except for ONGC and State Bank, all the other counters in the list are in the uptrend. Most of the counters in the list are likely to be under threat for Friday. Selling opportunities are likely to exist in as much as eight counters. Buying opportunities are likely to exist in two counters. The best bet is likely to be the selling in ONGC. Bearish trigger level is placed very close to its last traded price. Bear pressure on Friday is likely to trigger the downtrend in ONGC.

(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.