Financial Daily from THE HINDU group of publications
Tuesday, Oct 18, 2005
Financial Daily from THE HINDU group of publications Tuesday, Oct 18, 2005 |
|
|
|
|
|
|
|
Markets
-
Technical Analysis Volatile movement K. Premkumar
THE sentiment reading of the tradable counters remains bearish with added strength. Bull domination on Tuesday has the potential to neutralise the sentiment reading. On the contrary, the prevailing bearish sentiment is likely to be further strengthened. Nifty futures recommendation: The October month contract opened with a bear gap of around 3 points and went further down by another 25 points making an intra-day low of 2458.65. However, bears could not capitalise their initial momentum and gave way for bulls. The October month contract moved with in a range of 51 points. It closed with a loss of 3 points from its previous close. The short position in the October month contract remains intact. The exit and buy levels for the October month contract are still placed quite far away. In the normal course of trading, these levels are unlikely to be triggered. Stock futures recommendation: The composition of the list had no changes. However, ranking of the top-ten tradable list had minor changes. Reliance moved to the first position followed by Tata steel. ICICI and Hind Lever inter-changed their position. The exit level for BOB is placed at 230.85. The top three tradable counters in this segment were Reliance, State Bank and Tata steel. There are no uptrend counters in the list. Bull domination on Tuesday is likely to terminate most of the downtrend counters in the list. For Tuesday's trading, there are ample opportunities on the buy side. Selling opportunities are likely to exist in State Bank and Hind Lever. The best for Tuesday's trading is likely to be buying in IPCL. This counter is in downtrend. Bull pressure on Tuesday is likely to reverse the existing trend. Cash segment: The composition of the top-10 tradable list had no changes. On the contrary, the ranking had minor changes. Satyam moved up to fifth position while India Infoline moved down to ninth position. ITC moved to eighth position. The lone uptrend counters in the list is under threat. On the other hand, except for SRF and Tata Steel all other downtrend counters are under threat. Buying opportunities are likely to exist in five counters. Reliance is the lone counter having opportunity on the bear side. The best for Tuesday's trading is likely to be the buying in Reliance Capital. Bull pressure on Tuesday is likely to trigger the uptrend 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.
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2005, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|
