The Hindu Business Line : Volatile movement

The November contract opened with a bull gap of around 95 points from its previous close. The contract moved within a range of around 120 points and closed at its previous close.

The November contract is exited due to expiration. The new entry levels are placed based on December contract.

The long and short entry levels are placed quite far away from its last traded price. These levels are unlikely to be triggered during Friday’s trading.

STOCK FUTURES

The composition and the ranking of the top-10 list had minor changes. BHEL made its way to top-10 list pushing out Bank of India. BHEL occupied last position in the list. SBI moved down from fourth to sixth position in the list.

NTPC, IDBI, ICICI Bank and ONGC moved one step higher in the list.

All the positions of the top-10 counters are exited due to expiration.

The new entry levels are placed based on December contract. Buying opportunities are likely to exist in all the counters except Reliance Energy, IDBI and Hindalco. Selling opportunities are likely to exist in all the counters except BHEL.

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

This counter is in sideways mode. Bear move on Friday is likely to initiate a fresh downtrend in this counter.

CASH SEGMENT

The composition and the ranking of the top-10 list had minor changes. SAIL made its way to top-10 list pushing out Bank of India.

Reliance Energy and Reliance Industries interchanged their positions. BHEL and IDBI interchanged their positions.

Except ICICI Bank and SBI, all the counters in the top-10 list are in downtrend. All the uptrend counters are likely to be under threat for Friday’s trading.

On the other hand, bull move on Friday is likely to terminate Reliance Industries. A lone buying opportunity is likely to exist in Reliance Industries.

Selling opportunities are likely to exist in ICICI Bank and SBI.

The best among the above is likely to be selling in SBI. This counter is in uptrend.

Bear move on Friday is likely to reverse the 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.