Big movers on D-Street: What should investors do with HDFC AMC, Wipro and Paytm?
On Friday, equity indices surged by over 2%, reaching record highs following the Reserve Bank of India (RBI) upward revision of the GDP growth projection. Notable stocks included HDFC AMC, which increased by 2%, Wipro, witnessing a 5% gain, and Paytm, whose shares soared by 10% on Friday.
climbed over 2% to settle at record high levels on Friday after the () revised upwards the projection.that were in focus include names like , which rose 2%, , which gained 5%, and , whose shares rallied 10% on Friday.
Here's what Pravesh Gour, Senior at , recommends should do with these stocks when the market resumes trading today.
HDFC AMC
The counter looks very lucrative as currently, it is forming a flag formation with positive closing on the longer time frame. The first important resistance zone will be at 4000, with a subsequent number of call writers and a key resistance zone.
Above that, a rally towards the 4200 level and then the 4500 level is expected. On the downside, immediate support is at the 3800 level, where the 20 DMA is placed. Any slip below that could lead to the next major support at the 3500 level.
Wipro
The stock is experiencing a breakout from an inverse head-and-shoulders formation on the daily chart, accompanied by a surge in volume, indicating a potential . After retesting its previous breakout levels, the stock has embarked on a new upward rally.
This pattern suggests an immediate target of Rs 540, with potential for further upside towards the Rs 600 level. On the downside, Rs 435 acts as an immediate support level.
The MACD (moving average convergence divergence) supports the current strength, while the RSI (relative strength index) is also positively positioned, reinforcing the bullish outlook.
Paytm
The stock has been in a long consolidation phase and is currently trading near its all-time lows. The overall structure appears weak as it trades below its crucial moving averages.
However, it is forming a base around the Rs 300 level. On the upside, Rs 450 has become an immediate resistance area; surpassing this level could lead to a rally towards Rs 500 or higher in the near term. On the downside, Rs 300 serves as major support in case of any correction.
(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
