Indian markets closed with losses of nearly 1 per cent on Thursday amid US Fed jitters.
Indian markets closed with losses of nearly 1 per cent on Thursday amid US Fed jitters. The S&P BSE Sensex fell by about 500 points, while the Nifty50 managed to hold on to 17,100 levels.
Sectorally, buying was seen in banks, public sector, auto, and finance, while selling was seen in the IT, consumer durables, realty and power stocks.
Stocks that were in focus include Sharda Cropchem, which closed with gains of nearly 10 per cent; Canara Bank rose over 8 per cent; and Torrent Pharma closed with losses of nearly 15 per cent on Thursday.
Here’s what Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in, recommends investors should do with these stocks when the market resumes trading today:
Read more: Blockchain Exchange-Traded Funds Vs Crypto Investing: Here Are The Key Differences
Sharda Crop Chem: Avoid fresh longs
Albeit this counter registered a consolidation breakout to enter uncharted territories, it may remain vulnerable for a sharp profit booking as it rallied from the lows of 362 to a high of 578 in just 4 trading sessions.
Hence, we don’t advise fresh long positions but sharp dips towards 520 can be an opportunity to create fresh longs with a stop below 500 on a closing basis.
Interestingly, the last 57 weeks of price action carved out an Ascending channel on the weekly charts. Hence, based on the said channel breakout, a target of 670 can be
Torrent Pharma: Avoid
This counter seems to have registered a consolidation breakdown after moving in a large range of 3,250 – 2,735 levels on the weekly charts.
Moreover, in the current week itself, from the highs of 3187, it has erased the last leg of the 5-week rally from the lows of 2735 to a high of 3248 levels.
This ferocity of fall is pointing towards a fresh leg of a downswing with much bigger cuts. Hence, the initial target on the downside can be the retest of 2311, registered on March 2021, from where this entire rally started.
Hence, fresh long positions are not advisable whereas any stuck positions should be squared off on a bounce close to 2800 levels.
Read more: Policybazaar trades lower for sixth day; tanks 51% from 52-week high
Canara Bank: Book Profits
Faster retracement of the last leg of fall from the highs of 232 to a low of 204 in just two sessions is hinting that this counter has embarked on a fresh leg of upswing.
However, a sharp spike seen in the last two sessions can lead to profit booking at its nearest resistance point of 247 levels.
Hence in the next session, short term traders can consider profit booking. However, this counter seems to be in a medium-term uptrend and hence sustaining above 250 levels can eventually head towards 297 levels.
The dips up to 220 can be a great opportunity to accumulate this counter.
(Disclaimer: The views/suggestions/advices expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)
