The Hindu Business Line : Sideways movement

Friday's trading activity witnessed sideways movement. However, the sentiment reading of the tradable counters changed to bearish. Bull move on Monday is likely to change the sentiment reading in its favour.

On the other hand, the prevailing bearish sentiment is likely to be further strengthened with additional counters.

Nifty futures

The September month contract opened with a bear gap of around 25 points from its previous close. September contract moved with in a range of around 41 points making an intra-day low of 3522.75. It closed with a loss of around 12 points from its previous close.

The long position in the September contract remains intact. The long exit and short entry levels are placed quite nearer to its last traded price. These levels are likely to be triggered during Monday's trading.

Stock futures

The composition and ranking of the top-10 tradable list had minor changes. ACC gave way to Bajaj Auto. Bajaj Auto occupied tenth position in the list. Infosys moved up in the ranking while Satyam moved down. The top-3 tradable counters in this segment were Reliance, Sterlite and Tata Steel. The exit levels for ONGC and Bajaj Auto are placed at 1175.45 and 2813.95 respectively.

There are five downtrend counters and three uptrend counters in the top-10 tradable list. Both the up and down trend counters are likely to be under threat for Monday's trading. There are ample opportunities on either side for Monday's trading.

Click here for table

The best is likely to be buying in Reliance. This counter is in sideways mode. Bull move on Monday is likely to initiate a fresh uptrend in this counter.

Cash segment

The composition and the ranking of the top-10 tradable list had no changes. There are six downtrend and three uptrend counters in the top-10 tradable list. Both the up and down trend counters are likely to be under threat for Monday's trading.

There are ample buying opportunities and four selling opportunities for Monday's trading.

The best is likely to be selling in Maruti. This counter is in uptrend. Bear move on Monday is likely to trigger the downtrend 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.

More Stories on : Technical Analysis

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page