The Hindu Business Line : Bull domination

Bear move on Tuesday is likely to change the sentiment reading in their favour. On the contrary, the prevailing bullish sentiment is likely to be further strengthened with additional counters.

Nifty Futures Recommendation: The August month contract opened with a bear gap of around 11 points. However, the bears could not sustain the initial momentum and gave way to bull pressure.

The August month contract moved within a range of around 55 points, hitting an intra-day high of 3,375.90. It closed with a gain of around 23 points from the previous close.

The long position in the August month contract remains intact and has locked in a profit of around 160 points. Both the long exit and short entry levels are placed quite far away from its last traded price. In the normal course of trading on Tuesday, these levels are unlikely to be triggered.

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Futures Recommendation: The composition and ranking of the top 10 tradable list had minor changes. ACC gave way to i-flex at 10th position.

Satyam and Tata Motors moved up while Infosys and Bajaj Auto moved down in the ranking. The top three tradable counters in this segment were Reliance, Tisco and Century Tex. The exit level for ACC is placed at Rs 901.95.

Most of the counters in the top 10 tradable list are in uptrend. There are three downtrend counters in the list. All the counters are likely to be under threat for Tuesday's trading.

There are ample selling opportunities and three buying opportunities for Tuesday's trading. The best is likely to be buying in BHEL. This counter is in downtrend. Bull move on Tuesday is likely to reverse the existing trend in this counter.

Cash Segment: The composition and the ranking of the top 10 tradable list had no changes. Most of the counters in the list are in uptrend. There are three downtrend counters in the list. All the counters are likely to be under threat for Tuesday's trading.

There are four buying opportunities and five selling opportunities for Tuesday's trading. The best is likely to be buying in ITC. This counter is in downtrend. Bull move on Tuesday is likely to trigger the uptrend in this counter.

(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.