However, in the final countdown, only 13 stocks closed at the levels which attracted backwardation, leaving enough scope for operators to short cover their positions in the next trading cycle.

About eight stocks attracted book-bandh badla (book closure) carryforward charges - IFCI, Atlas Copco, BPCL, Castrol, CESC, Colgate, Finolex Cables and Madras Cement. These stocks will be traded in the no-delivery category of the BSE wef July 27.The total outstanding carryforward position of the settlement ended on July 24 was Rs 619.63 crore. The backwardation charges attracted by stocks like Bajaj Auto helped push up the sale positions to Rs 154.65 crore while the purchase carryforward position was marked at Rs 560.38crore.

"The fall of over 200 points during this week coupled with the fresh short positions built at the heavyweight counters will help the market rally during the initial phase," said a BSE broker.

Interestingly, among the pivotals, Tata Steel attracted the highest carryforward charge of 18.28 per cent for a net outstanding carryforward quantity of 2.93 lakh shares. The announcement of the results on July 23 saw the stock dip record a new low of Rs 105.

Evaluating the performance of the company and the demand factor, analysts seem to be recommending the stock for sell. Similarly, Reliance also lost steam on account of its results to record a new low of Rs 134. The stock attracted a carryforward charge of 10.74 per cent for a phenomenal net outstanding carryforward quantity of 38.17 lakh shares.

Other pivotals like SBI, Tata Chemicals and ITC also met the same treatment both at the local and GDR markets, to be traded at new 52-week lows. SBI attracted a carryforward charge of 7.92 per cent at thehawala price of Rs 200.