Trading strategy for June 2

The market has continued its good run which has seen a positive closing despite some selling pressure at higher levels.

Banks witnessed profit-taking, IT remained under pressure, Textiles gained ground while PSU's were revelling in the limelight once again. Volume too was high while the undertone was firm.

Sensex -- Last Close: 3180.75 | Support: 3110, 3007 | Resistance: 3210, 3320

Trading Range -- The Sensex opened at 3172.05, moved up to an intra-day high of 3200.48, declined to an intra-day low of 3158.74 and closed at 3180.75.

Review/Outlook -- The Sensex has behaved on expected lines and ran smack into resistance at the 3200 level. The rally is still on but the Sensex needs to sustain above the 3201 level to make further progress.

Bajaj Auto -- Last Close: 515.10 | Support: 504, 472 | Resistance: 545, 590

Trading Range -- The scrip opened at 506.00, moved up to an intra-day high of 517.00, declined to an intra-day low of 504.50 and closed at 515.10.

Review/Outlook -- The scrip has once again ended in positive territory to continue its ascent and with the oscillators looking firm, a further upside seems possible.

Apollo Tyres -- Last Close: 159.75 | Support: 157, 142 | Resistance: 167, 181

Trading Range -- The scrip opened at 151.00, moved up to an intra-day high of 160.80, declined to an intra-day low of 148.00 and closed at 159.75.

Review/Outlook -- The scrip has given an upward breakout from a consolidation pattern and with the oscillators signalling a buy, a further upside cannot be ruled out.

BASF -- Last Close: 110.05 | Support: 110, 102 | Resistance: 116, 122

Trading Range -- The scrip opened at 107.15, moved up to an intra-day high of 110.40, declined to an intra-day low of 105.25 and closed at 110.05.

Review/Outlook -- The scrip has given an upward "key" reversal (bullish intra-day pattern) and with the oscillators looking positive, further appreciation seems to be on the cards.

Shyam Tele -- Last Close: 35.10 | Support: 33, 30 | Resistance: 38, 43

Trading Range -- The scrip opened at 32.20, moved up to an intra-day high of 36.15, declined to an intra-day low of 32.20 and closed at 35.10.

Review/Outlook -- The scrip has reflected short term strength by closing above the 10 and 55 day averages while a further upside seems to be on the cards.