The Hindu Business Line : Bull domination

Bulls dominated Thursday's trading activity. The sentiment reading of the tradable counters changed to marginally bullish. Bear move on Friday is likely to change the sentiment reading in their favour. On the contrary the prevailing bullish sentiment is likely to be further strengthened with additional counters.

NIFTY FUTURES

The March contract opened with a bull gap of around 46 points from its previous close. The March contract moved within a range of around 153 points making an intraday high of 3,770. The March contract closed with a gain of around 169 points from its previous close.

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The March contract entered into a new long position. The long exit and short entry levels are placed 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 tradable list had no changes. However, the ranking had minor changes. SBI and ACC moved up in the ranking while ICICI, Reliance Capital and Hindalco moved down. The top-3 tradable counters in this segment were Reliance Industries, Tata Steel and Reliance Communications.

There are six uptrend counters and four downtrend counters in the top-10 list are in downtrend. All the downtrend counters are likely to be under threat for Friday's trading. There are four buying opportunities for Friday's trading. The best among them is likely to be buying in Hindalco. This counter is in downtrend. Bull move on Friday 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 had minor changes. Reliance Industries, SAIL and Tata Steel moved up in the ranking while Infosys, ACC, Zee Tele, and Satyam moved down.

There are four downtrend counters and four uptrend counters in the top-10 tradable list. Except IDBI, other downtrend counters are likely to be under threat for Friday's trading. On the other hand the uptrend counters Reliance Industries and Infosys are likely to be terminated. There are five buying opportunities and two selling opportunities for Friday's trading. The best among them is likely to be buying in ICICI. This counter is in downtrend. Bull move on Friday 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.