The Hindu Business Line : Bull run continues

Bull run continued over Friday's trading activity. The sentiment reading of the tradable counters remains bullish. Bear move on Monday 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: The December month contract opened with a bull gap of around 26 points from its previous close. It moved within a range of around 39 points making an intra-day high of 3894.70. The contract closed with a gain of around 34 points from its previous close.

Click here for table

The long position in the December month contract remains intact. The long exit and short 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 trading on Monday.

Stock Futures: The composition of the top-10 tradable counters had no changes. However, the ranking of the list had minor changes. The top-3 tradable counters in this segment were Reliance Communications, Tata Steel and Zee Tele.

All the counters are in uptrend. Except Tata Steel and Bank of India all other counters in the list are likely to be under threat for Monday's trading. There are ample selling opportunities on the bear side for Monday's trading. The best is likely to be selling in Tata Motors. Bear move on Monday is likely to reverse the existing trend in this counter.

Cash Segment: The composition and ranking of the top-10 tradable list had no changes. However, the ranking of the list had minor changes. The long exit level for Bank of India is placed at 172.95.

Except i-flex all other uptrend counters are likely to be under threat for Monday's trading. On the other hand, a lone downtrend counter Tata Steel is likely to be terminated. There is a lone opportunity on the buy side and ample opportunities on the sell side for Monday's trading. The best is likely to be selling in Reliance. This counter is in uptrend. Bear move on Monday 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.