The Hindu Business Line : Bull domination

Bear domination on Monday is likely to change the sentiment reading in their favour. On the contrary, the current sentiment is likely to be strengthened with additional counters.

NIFTY FUTURES

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The May contract opened with a bull gap of around 19 points from its previous close. The May contract moved within a range of around 111 points and closed with a gain of around 122 points from its previous close.

Bull move during the day initiated a fresh uptrend in the Nifty May contract.

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

STOCK FUTURES

The composition and the ranking of the top-10 list had no changes. Except NTPC and TCS all other counters in the top-10 list are in uptrend.

All the uptrend counters are likely to be under threat for Monday’s trading. A lone buying opportunity is likely to exist in TCS.

There are ample selling opportunities for Monday’s trading. The best is likely to be selling in Tata Steel.

This counter is in uptrend. Bear move on Monday is likely to reverse the existing trend in this counter.

CASH SEGMENT

The composition of the top-10 list had no changes. However, the ranking of the top-10 list had minor changes. Reliance Industries and Reliance Capital interchanged their position.

Reliance Energy moved from eighth to sixth position in the list. Suzlon and SAIL moved one step lower in the list.

Except Suzlon and Tata Steel all other counters are in uptrend in the top-10 list. Except Reliance Capital, ICICI Bank and Reliance Energy all other uptrend counters are likely to be under threat for Monday’s trading.

On the other hand, bull move on Monday is likely to terminate Suzlon. Buying opportunities are likely to exist in Suzlon and Tata Steel.

Selling opportunities are likely to exist in Reliance Industries, BHEL, Infosys, SAIL and Satyam. The best is likely to be buying in Suzlon.

This counter is in downtrend. Bull move on Monday 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.