The Hindu Business Line : Sideways movement

Bear domination on Friday is likely to change the sentiment reading in their favour. On the contrary, it is likely to change the sentiment reading in their favour.

NIFTY FUTURES

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The March contract opened with a bear gap of around 6 points from its previous close. The March contract moved within a range of around 76 points and closed with a loss of around 11 points from its previous close.

The long position in the Nifty March contract is terminated due to expiry. The fresh entry levels are placed based on April contract.

These 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 of the top-10 list had no changes. However, the ranking of the top-10 list had minor changes. Hindalco and NTPC interchanged their position.

All the positions turned to sideways due to contract expiry. The new entry levels are placed based on April contract. Buying opportunities are likely to exist in all the counters except Tata Steel.

Selling opportunities are likely to exist in all the counters except Reliance Capital. The best among the above is likely to be buying in Reliance Industries. This counter is in sideways mode. Bull move on Friday is likely to initiate a fresh uptrend in this counter.

CASH SEGMENT

The composition and the ranking of the top-10 list had minor changes. Infosys made its way to top-10 list pushing out SBI. Reliance Industries moved from first to fourth position in the list.

Reliance Capital, ICICI Bank and Reliance Energy moved one step higher in the list. The short exit level for Tata Steel is placed at 702.70.

There are five uptrend and five downtrend counters in the top-10 list. The uptrend counters SAIL, HDFC and Infosys are likely to be under threat for Friday’s trading. On the other hand, bull move on Friday is likely to terminate all the downtrend counters except Tata Steel.

Buying opportunities are likely to exist in ICICI Bank, Reliance Energy, Reliance Industries and BHEL. Selling opportunities are likely to exist in SAIL, HDFC and Infosys. The best is likely to be buying in Reliance Industries.

This counter is in downtrend. Bull move on Friday 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.