The Hindu Business Line : Bull domination

Bulls dominated Tuesday's trading activity. The sentiment reading of the tradable counters changed bullish. Bear move on Wednesday is likely to change the sentiment reading in their favour. On the contrary, the prevailing bullish sentiment is likely to be further strengthened.

NIFTY FUTURES

January contract opened with a bull gap of around 9 points from its previous close. It moved within a range of around 49 points making an intra-day high of 4019.90 and closed with a gain of around 39 points from its previous close.

The short position in the January contract exited and entered long. The long exit and short entry levels are placed nearer to its last traded price and are likely to be triggered during Wednesday's trading.

STOCK FUTURES

The composition of the top-10 tradable list remained unchanged. However, the ranking had minor changes. ACC and Tata Motors moved up and occupied sixth and seventh positions, while i-flex moved down to eighth position. The top-3 tradable counters in this segment were IVRCL, Infosys and Satyam Computer.

There are six uptrend counters and two downtrend counters in the list. The downtrend counters Tata Steel and BHEL is likely to be terminated during Wednesday's trading. On the other hand, the uptrend counters SBI, i-flex and Reliance Capital are likely to be under threat for Wednesday's trading.

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There are four opportunities on the buy side and five opportunities on the sell side for Wednesday's trading. The best among them is likely to be buying in Reliance Industries. This counter is in sideways mode. Bull move on Wednesday 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. Infosys moved up while BHEL and Tata Motors moved down in the ranking.

There are three downtrend and five uptrend counters in the list. All the downtrend counters are likely to be under threat for Wednesday's trading. On the other hand, the uptrend counters i-flex , Infosys and ACC are likely to be terminated.

There are five opportunities on either side for Wednesday's trading. The best among them is likely to be buying in Reliance Industries. This counter is in downtrend. Bull move on Wednesday is likely to reverse the existing 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.