Big movers on D-Street: What should investors do with Dabur, Inox Wind and Zomato?
Stocks that were in focus include names like Dabur, which rose 5.11%, Inox Wind, which was down 6.06%, and Zomato, whose shares declined 1.89% on Tuesday.
Domestic markets declined on Tuesday dragged by concerns over rich valuations. The 30-share BSE fell 383 points to settle at 73,511 and declined 140 points to 22,302.Stocks that were in focus include names like , which rose 5.11%, , which was down 6.06%, and , whose shares declined 1.89% on Tuesday.
Here's what Kushal Gandhi, StoxBox at Technical Analyst, recommends should do with these stocks when the market resumes trading today.
Dabur
The consumer durable stock saw a sharp surge in price action following the announcement of its Q4FY24 earnings. Dabur has ascended nearly 15% in the last 14 trading sessions from the lows of 489.
It faces immediate resistance from a negative sloping multi-month trendline. The price strength is underperforming compared to the 50 index, while buyers' demand has recently improved. We recommend avoiding chasing the stock at higher levels and adding it on dips.
Inox Wind
The price action on the daily timeframe has witnessed seven consecutive red trading sessions, indicating lower closings. The stock has breached its shorter-term EMAs, putting the intermediate trend under pressure.
The stock has immediate support at 50DMA, currently trading at 551, and the price action is anticipated to invite further selling pressure on closing below the average line.
On the flip side, the price action is anticipated to attract bullish strength on decisively reclaiming the pivotal resistance near 650. We thus recommend avoiding the stock at the current market price to initiate a long entry.
Zomato
Zomato displays a strong primary upward trend, which is a positive sign. The price action has taken a breather following a parabolic 350% up move.
The lateral trend near life-highs on moderately low volume is a potential indication of accumulation to bolster the continuation of the uptrend.
The stock shows relative strength compared to the Nifty 50, and the sectorial group itself shows improving strength. We recommend buying Zomato for the target of 220 against a protective stop of 177.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
Source: Stocks-Markets-Economic Times
