The outlook for Wednesday is more or less positive. The heaviest of the lot, Hindustan Lever has closed strong on Monday and appears promising. The uptrend is likely to continue on this counter, and that should have a positive impact on the sensex. ITC continue to show a mixed trend. The chart suggests that the stock is preparing for a big move. The move would be downward if it breaks the Rs 790-level on Wednesday. For an uptrend, the stock needs to cross Rs 825. The oscillators point towards an uptrend.Reliance outlook ispositive but SBI has weakened. Similarly, MTNL has weakened whereas Bhel has acquired some strength on Monday. Overall, the sensex is expected to remain firm. It has good support at 3200 level.Among the other counters, Telco, if it breaks the Rs 210 level, can fall sharply. While ACC's position is comfortable, Tisco enjoys good support at Rs 100.

The software stocks are expected to behave positively. Stocks like Silverline and Rolta have entered into a new bull orbit and are expected to continue their northward journey. NIIT and HCL may also strengthen their positions. Pentafour Software can give good returns only after it crosses Rs 940. For those traders who are short on Satyam Computers, can keep their position open unless the stock goes above Rs 940. Fresh long position should be taken above Rs 950. Other counters where positive trend is expected are : Arvind Mills, BASF, Bharat Forge, BPL, Britannia, Cadbury, Cochin Refineries, Carrier Aircon, Crompton Greaves, Exide Industries, Finolex Cables, HeroHonda, Hotel Leena, NIIT, Reckitt & Colman and United Phosphorus. In fact, stocks like Exide Industries, Finolex Cables, Reckitt & Colman and United Phosphorus have given a fresh break-out.

The counters where outlook appears negative are: Asian Paints, Balarampur Chini, Bank of India, BPCL, Century Textile, Corporation Bank, Madras Cements, and Novartis.