The Hindu Business Line : Bulls marginalised

THE sentiment reading of the tradable counters stands marginally bullish. Bear pressure during Wednesday is likely to change the sentiment reading in their favour. On the other hand, the sentiment reading is likely to turn extremely bullish.

Nifty futures recommendation: The November month contract opened 3 points below the previous close. Bulls were not able to continue their previous day's run. The November contract moved within a band of 16 points. It closed weaker with a loss of 3 points from the previous day's close.

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The long position in the November contract is likely to remain undisturbed during Wednesday's trading. Both the exit and bearish trigger levels for the November contract are placed quite far away. In the normal course of trading on Wednesday, these levels are unlikely to be triggered.

Stock futures recommendation: Satyam Computers, Tata Steel and Reliance Industries were the three most actively traded counters in the list. The downtrend in Maruti is likely to be under threat for Wednesday's trading. On the contrary, all the uptrend counters in the list are likely to be terminated.

Bulls are likely to have opportunities in five counters. Selling opportunities are likely to exist in six counters.

The best bet for Wednesday's trading is likely to be the buying in Satyam. This counter is in a sideways mode. Buying level for this counter is placed closer to its last traded price. Bull move on Wednesday is likely to initiate a fresh uptrend in Satyam.

Cash segment: Tuesday's market action initiated the downtrend in the recommended counter SAIL. However, bull move on Wednesday is likely to pose a threat to both the downtrend counters in the list. Bear move on Wednesday is likely to terminate almost all the uptrend counters in the list.

Selling opportunities are likely to exist in five counters. Buying opportunities are likely to exist in three counters. Selling in Reliance is likely to be the best for Wednesday's trading. Bearish trigger level for this counter is placed very near to its closing price. Bear pressure on Wednesday is likely to trigger the downtrend in Reliance.

(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.