Financial Daily from THE HINDU group of publications
Thursday, Aug 04, 2005
Financial Daily from THE HINDU group of publications Thursday, Aug 04, 2005 |
|
|
|
|
|
|
|
Markets
-
Technical Analysis Bulls prevail K. Premkumar
BULLS maintained their pressure over Wednesday's trading activity. The day's market action resulted in triggering the uptrend in a few tradable counters. The sentiment reading of the tradable counters stands strongly bullish. Bear domination on Thursday has the potential to change the sentiment reading in their favour. Otherwise, the prevailing bullish sentiment is likely to continue with a slight change in the value. Nifty futures recommendation: The August month contract opened with a bull gap of around eight points and went further by another eight points. Thereafter bears made a comeback and wiped out their losses. The August month contract moved within a band of 30 points registering an intra-day low of 2336.00. It closed with a loss of six points with respect to previous close. The uptrend in the August contract remains intact. However, bear domination on Thursday has the potential to terminate the uptrend. Bearish trigger level for the August contract is placed far away and this is unlikely to be triggered on Thursday. Stock futures recommendation: The composition as well as the ranking of the top-10 tradable counters list remains unchanged. The top three traded counters in this segment were Reliance, State Bank and VSNL. None of the counters in the list are in the downtrend. Bear pressure on Thursday could be a threat to most of the uptrend counters in the list. Selling opportunities are likely to exist in five counters. A lone buying opportunity is likely to exist in NTPC. For Thursday, the best is likely to be the buying in NTPC. This counter is in the sideways mode. Bear move on Thursday is likely to trigger the uptrend in NTPC. Cash segment: The composition of the top-10 active counters list underwent a change. Tata Motors gained entry with the exit of TCS. The ranking of the list remains intact. The uptrend in TCS is likely to terminate at 1282.95. Bear move on Thursday is likely to terminate most of the uptrend counters in the list. On the other hand, the lone downtrend counter-Tata Tele is likely to be under threat. Buying opportunities are unlikely to exist for Thursday's trading. Selling opportunities are likely to exist in Tata Motors, Tata Steel and Zee Tele. The best among the above is likely to be Zee Tele. Bearish trigger level for this counter is placed closer to the current level. Bear pressure on Thursday is likely to initiate a fresh downtrend in Zee Tele. (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.
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2005, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|