The Hindu Business Line : Bears prevail

Bears prevailed over Friday's trading activity. The sentiment reading of the tradable counters changed to bearish. Bull move on Tuesday is likely to change the sentiment reading in its favour. On the contrary, the prevailing bearish sentiment is likely to be strengthened.

NIFTY FUTURES

The January month contract opened with a bear gap of around 9 points from its previous close. It moved within a range of around 31 points making an intra-day low of 3963.35. The January contract closed with a loss of around 15 points from its previous close.

The January month contract entered a fresh short position. The short exit and long entry levels are placed quite nearer to its last traded price. These levels are likely to be triggered during Tuesday's trading.

STOCK FUTURES

The composition and the ranking of the top-10 tradable list remained unchanged. The top-3 tradable counters in this segment were Reliance Industries, Titan and Reliance Communications.

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There are three uptrend and five downtrend counters in the list. The downtrend counters Tata Motors and Reliance Capital are likely to be terminated during Tuesday's trading.

There are two opportunities on the buy side and three opportunities on the sell side for Tuesday's trading. The best among them is likely to be buying in Tata Steel. This counter is in sideways mode. Bull move on Tuesday is likely to initiate a fresh uptrend in this counter.

CASH SEGMENT

The composition of the top-10 tradable list remained unchanged. However, the ranking had minor changes. Tata Motors and Infosys interchanged their positions.

There are seven downtrend and two uptrend counters in the list. All the counters are likely to be under threat for Tuesday's trading. There are ample buying opportunities and two selling opportunities for Tuesday's trading.

The best among them is likely to be buying in Tata Steel. This counter is in downtrend. Bull move on Tuesday is likely to reverse the existing trend in Tata Steel.

(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.