Stocks that were in focus include names like Olectra, which fell 0.65%, Policybazaar, which rose 3.66%, and HDFC AMC, which gained 4.51% on Thursday.
Here’s what Amol Athawale, Vice President – Technical Research, Kotak Securities, recommends investors should do with these stocks when the market resumes trading today:
Olectra Greentech – Exit below 1200
In this month so far, the stock rallied nearly 35%. After a stellar rally, the stock is witnessing profit booking at higher levels.
In this week so far, it has corrected over 5%. However, the medium-term texture of the stock is still on the positive side. Technically, the short-term texture is positive but due to temporary overbought conditions, we could see range-bound price action in the near future.
For the traders, 1250-1200 would be the key support zones while 1400-1500 could be the crucial resistance levels for the bulls. On the flip side, below 1200 traders may prefer to exit out from the trading long positions.
PB Fintech – Buy
In this month so far, the stock has rallied over 10%. After a 660 breakout, the stock intensified its positive momentum. Post breakout, the stock consistently formed higher high higher low series formation and comfortably traded above 20 day SMA (Simple Moving Average) which is largely positive.
Technically, as long as the stock is trading above 730, the positive sentiment is likely to continue. Above which, it could rally till 800. Further upside may also continue which could lift the stock to 825. On the flip side, below 730, the uptrend would be vulnerable.
HDFC AMC – Buy
On Thursday, the stock registered a fresh 52-week high of 2589.35. On daily and weekly charts, the stock has formed a breakout continuation formation and it also formed a long bullish candle which indicates an uptrend wave is likely to continue in the near future.
Technically, the short-term technical set-up is positive but momentum indicators suggest a strong possibility of one quick correction from the current levels. We are of the view that 2425-2400 would be the sacrosanct support zone for the trend-following traders.
If the stock sustains above the same, then it could rally till 2600-2665. On the flip side, below 2400 it could trigger a short-term correction. Below the same, we could see one technical correction till 2325-2300.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
