The Hindu Business Line : Volatile movement

Wednesday's trading activity continued to be volatile. However, the sentiment reading of the tradable counters changed to bearish. Bull domination on Thursday is likely to change the sentiment reading in their favour. On the contrary, the prevailing bearish sentiment is likely to be further strengthened.

Nifty futures: The March contract opened with a bear gap of around one point. It moved within a range of around 50 points making an intra-day low of 3207.50.

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March contract closed with a loss of around nine points from its previous close.

The long position in the March contract is exited and reversed in the day's trading.

The short exit and long entry levels are placed quite far away from its last traded price. In the normal course of trading these levels are unlikely to be triggered during Thursday.

Stock futures : The composition of the top-10 tradable list had no changes. However, the ranking of the list had minor changes. Reliance moved up to second position and Tata Motors and Maruti moved down to third and fourth positions respectively.

The top-three tradable counters in this segment were State Bank, Tata Steel and Tata Motors.

There are no uptrend counters in the top-10 tradable list. Except Reliance , all other downtrend counters are likely to be terminated during Thursday's trading. There are ample opportunities on the buy side.

The best is likely to be buying in Satyam. Bull move on Thursday is likely to trigger the uptrend in this counter.

Cash segment: The composition of the top-10 tradable list had no changes. However, the ranking of the list had minor changes. Tata Motors and Maruti interchanged their positions.

Except VSNL and Reliance Capital all other downtrend counters in the top-10 tradable list are likely to be under threat for Thursday's trading. There are no uptrend counters in the list. There are ample opportunities on the buy side.

The best is likely to be buying in Tata Motors. Bull pressure on Thursday is likely to trigger the uptrend in Tata Motors.

(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.