The Hindu Business Line : Range-bound movement

Friday's trading activity witnessed a volatile movement. However, the sentiment reading of the tradable counters was marginally bullish. Bear move on Monday is likely to change the sentiment reading in its favour.

On the contrary, the prevailing bullish sentiment is likely to be further strengthened with additional counters.

Nifty futures

The August month contract opened with a bull gap of around 9 points. The August contract moved with in a range of around 32 points making an intra-day low of 3330.10. It closed with a gain of around 9 points from its previous close.

The long position in the August contract remains intact and has locked in a profit of around 86 points. Both the long exit and short entry levels are placed quite far away from its last traded price.

In the normal course of trading during Monday, these levels are unlikely to be triggered.

Stock futures

The composition and ranking of the top-10 tradable list had minor changes. TCS gave way to Tata Motors. Tata Motors occupied 10th position. Bajaj Auto, ACC and Infosys moved up while Satyam moved down in the ranking. The top-3 tradable counters in this segment were Reliance, Century Textiles and.Tata Steel. The exit level for TCS is placed at 971.95.

There are five downtrend counters and five uptrend counters in the top-10 tradable list. All the counters are likely to be under threat for Monday's trading. There are five buying opportunities and four selling opportunities for Monday's trading.

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The best is likely to be buying in ONGC. This counter is in downtrend. Bull move on Monday is likely to reverse the existing trend in this counter.

Cash Segment: The composition and the ranking of the top-10 tradable list had no changes. Most of the counters in the list are in uptrend. There are four downtrend counters in the list. All the counters are likely to be under threat for Monday's trading.

There are four opportunities on either side for Monday's trading. The best is likely to be buying in Infosys. This counter is in downtrend. Bull move on Monday 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.