The Hindu Business Line : Bears prevail

Bears prevailed over Tuesday's trading activity. The sentiment reading of the tradable counters remains bearish. Bull move on Wednesday is likely to change the sentiment reading in their favour. On the contrary, the prevailing bearish sentiment is likely to be further strengthened with additional counters.

NIFTY FUTURES

The December month contract opened with a bear gap of around 14 points from its previous close. The December month contract moved within a range of around 206 points making an intra-day low of 3,655.90. The December month contract closed with a loss of around 134 points from its previous close. The short position in the December month contract remains intact. The short exit and long entry levels are placed quite for away from its last traded price. In the normal course of trading, these levels are unlikely to be triggered during trading on Wednesday.

STOCK FUTURES

The composition of the top-10 tradable counters had no changes. However, the ranking of the list had minor changes. Centex and Tata Steel interchanged their positions. Bank of India and Reliance Industries interchanged their positions. The top-3 tradable counters in this segment were Reliance Industries, IVRCL and Reliance Communications.

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All the counters are in downtrend except i-flex.On the other hand, downtrend in ICICI Bank is likely to be terminated during trading on Wednesday. There is a lone buying opportunity for Wednesday's trading. The best is likely to be buying in ICICI Bank. This counter is in the downtrend. Bull move on Wednesday is likely to reverse the existing trend in this counter.

CASH SEGMENT

The composition of the list had no changes. However, the ranking of the list had minor changes. Tata Steel and Bank of India have interchanged their positions. Infosys moved down to eighth position from sixth position. i-flex is a lone uptrend counter in the list. There are two downtrend counters likely to be under threat for Wednesday's trading. There are two buying opportunities for Wednesday's trading. The best is likely to be buying in ICICI Bank. This counter is in downtrend. Bull move on Wednesday is likely to reverse the prevailing trend 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.