The Hindu Business Line : Volatile movement

Tuesday's trading activity witnessed volatile movement. The sentiment reading of the tradable counters remains 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 with additional counters.

NIFTY FUTURES

April contract opened with a bull gap of around 15 points. The contract moved within a range of around 70 points. It closed with a loss of around 30 points from its previous close.

The long position in the April contract is remains intact. The long exit and short entry levels are placed far away to its last traded price. These levels are unlikely to be triggered during the normal course of trading on Wednesday.

STOCK FUTURES

The composition and ranking of the top-10 tradable list had minor changes. BHEL went out of the top-10 tradable list, it gave way to TCS. Satyam occupies fifth position and Century Textiles moved to seventh. ICICI moved from fifth to sixth position in the top-10 tradable list.

The top-3 tradable counters in this segment were Tata Steel, Reliance and Infosys. The long exit level for ACC, Tata Motors and BHEL is placed at 771.45, 731.45, and 2,520, respectively.

Except SBI, Satyam and TCS, all other counters in the top-10 tradable list are in up trend. There are five up trend counters in the tradable list, which are under threat. Five opportunities exist in the sell side.

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The best among them is likely to be selling Reliance Capital. This counter is in up trend. Bear move on Wednesday is likely to reverse the prevailing trend in this counter.

CASH SEGMENT

The composition of the top-10 tradable list had no changes, however, the ranking of the tradable list had minor changes. BHEL moved from fourth to sixth position. Tata Motors and SBI interchange their position in the top-10 tradable list.

There are five up trend and three down trend counters in the top-10 tradable list. TISCO, BHEL and ITC are in up trend and are under threat.

Five opportunities exist in sell side.

The best among them is likely to be selling TISCO. Bear move on Wednesday may 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.