The Hindu Business Line : Bear domination

Bull move on Wednesday is likely to change the sentiment reading to bullish. On the other hand, prevailing sentiment reading is likely to be further strengthened with additional counters.

Nifty futures

The July month contract opened with a bull gap of around 20 points from Monday's last traded price. The July month contract moved with in a range of around 70 points making an intraday low of 3073.75. It closed with a loss of around 30 points from its previous close.

Click here for table

The short position in July month contract exited and entered long as the market opened with a bull gap.

The long exit and short entry levels are placed quite nearer from its last traded price. Bear move on Wednesday is likely to reverse the existing position in the July month contract.

Stock futures

The composition and ranking of the top-10 tradable counters had no changes. The top-3 tradable counters in this segment were Reliance, Tata Steel and Century Tex.

All the uptrend and downtrend counters are likely to be under threat for Wednesday's trading. There are five buying opportunities and four selling opportunities for Wednesday's trading.

The best is likely to be selling in Bajaj Auto. This counter is in uptrend. Bear move on Wednesday is likely to trigger the downtrend in this counter.

Cash segment: The composition of the top-10 tradable list had minor changes. Tata Motors gained entry in the place of SAIL. Tata Motors occupied ninth position in the top-10 list.

All the downtrend and uptrend counters in the list are likely to be under threat for Wednesday's trading. There are three buying and three selling opportunities for Wednesday's trading.

The best among the above is likely to be selling in Infosys. This counter is in uptrend. Bear move on Wednesday is likely to reverse the prevailing trend in Infosys.

(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.