The Hindu Business Line : Bull domination

Bulls dominated Wednesday's trading activity. The sentiment reading of the tradable counters remains bullish. Bear move on Thursday 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 March contract opened with a bull gap of around 21 points from its previous close. It moved within a range of around 99 points, making an intraday high of 3765.95 and closed with a gain of around 83 points from its previous close.

The long position in the March contract remains intact. The long exit and short entry levels are placed far away from its last traded price. These levels are unlikely to be triggered during Thursday's trading.

Stock futures

The composition of the top-10 tradable list had no changes. However, the ranking had minor changes. Satyam moved up in the ranking while IDBI moved down. The top-3 tradable counters in this segment were Reliance Communications, Bharti Airtel and India Cements.

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There are seven uptrend counters and three downtrend counters in the top-10 list. All the downtrend counters are likely to be terminated. On the other hand, the uptrend counters Reliance Industries, Century Tex, Reliance Capital and IDBI are likely to be under threat for Thursday's trading.

There are three buying opportunities and four selling opportunities for Thursday's trading. The best among them is likely to be buying in Tata Steel. This counter is in downtrend. Bull move on Thursday is likely to reverse the prevailing trend in this counter.

Cash segment

The composition and ranking of the top-10 tradable list had minor changes. Wipro gave way to Tata Motors. Tata Motors occupied tenth position in the ranking. The short exit level for Wipro is placed at 590.05.

There are seven uptrend counters and three downtrend counters in the top-10 tradable list. All the downtrend counters are likely to be terminated. On the other hand, the uptrend counters Infosys, ACC, ITC and ICICI are likely to be under threat for Thursday's trading.

There are three buying opportunities and four selling opportunities for Thursday's trading. The best among them is likely to be buying in TCS. This counter is in downtrend. Bull move on Thursday is likely to reverse the prevailing trend.

(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.