Indian market closed lower on June 23 ahead of June F&O expiry. The S&P BSE Sensex fell by nearly 300 points while the Nifty50 failed to hold on to 15,700 levels.
Sectorally, buying was seen in consumer durables, auto, and consumer discretionary while profit booking was seen in oil & gas, utilities, metal, and energy stocks.
On the broader markets front – the S&P BSE Midcap index fell 0.2 percent, and the S&P BSE Smallcap index fell 0.4 percent.
Stocks that were in focus include Godrej Agrovet which closed with gains of over 9 percent, Venky’s rose more than 7 percent, and Bharat Electronics closed with gains of 11 percent on Wednesday. All the stocks hit a fresh 52-week high.
Here's what Ruchit Jain, Senior Analyst- Technical and Derivatives, Angel Broking, recommends investors should do with these stocks when the market resumes trading today:
Post a long consolidation phase, the prices have given a breakout supported by good volumes which is positive for bulls. The momentum reading has also turned positive which is a sign of strength.
Hence, traders could continue to ride the trend with a trailing stop loss method. The breakout zone of Rs 600-590 should now act as a support on any declines while the next resistance is seen around its previous all-time high of Rs 715.
The stock is in an uptrend which can be seen with the price up move along with good volumes. In the recent consolidation phase within an uptrend, prices managed to hold above its ‘20 DEMA’ and has now resumed the up move.
Hence, traders can hold existing positions and ride the uptrend. The immediate supports for the stock are placed around Rs 3,350 while resistance is seen around Rs 4,050.The stock is forming a ‘Higher Top Higher Bottom’ structure and is thus in an uptrend. The price action gave a breakout from the recent consolidation phase and the breakout has also been supported by higher volumes.
Hence, we expect the stock to continue its trend and any intermediate declines should be used as a buying opportunity. The support for the stock is now placed around Rs 158-160 while resistances are seen around Rs 174 and Rs 180.
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