The Hindu Business Line : Sideways movement

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 strengthened.

NIFTY FUTURES

The September month contract opened with a bull gap of around 8 points from its previous close. The September month contract moved within a range of around 43 points. The September month contract closed with a loss of around 9 points from its previous close.

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The long position in the September month contract is undisturbed. The long exit and short entry levels are placed quite far away from its last traded price.

These levels are unlikely to be triggered during Wednesday’s trading activity.

STOCK FUTURES

The composition of the top-10 tradable list had no changes. However, the ranking of the top-10 list had minor changes. IDBI and SBI interchanged their positions. Reliance Energy and ICICI Bank interchanged their positions. The long exit level for Infosys is placed at 1,852.95.

Except Reliance Capital, SBI and Century Textiles all other counters are in uptrend. The uptrend ICICI Bank is likely to be under threat for Wednesday’s trading. Buying opportunities are likely to exist in Reliance Capital, SBI and Century Textiles. Selling opportunity is likely to exist in ICICI Bank.

The best among the above is likely to be selling in ICICI Bank.

This counter is in uptrend. 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 top-10 list had minor changes. Reliance Capital and SBI interchanged their positions. Reliance Energy and BHEL interchanged their positions.

Except SBI, Infosys and Reliance Energy all other counters in the list are in uptrend. In the uptrend counters ICICI Bank and Satyam are likely to be under threat for Wednesday’s trading.

On the other hand, bull domination on Wednesday is likely to terminate SBI. Buying opportunities are likely to exist in SBI, Infosys and Reliance Energy. Selling opportunities are likely to exist in ICICI Bank and Satyam.

The best among the above is likely to be selling in Satyam.

This counter is in uptrend. Bear move on Wednesday 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.