Fear gauge India VIX surged more than 4 per cent. Only BSE’s IT index settled in green, while consumer durables, utilities, capital goods, power, realty and FMCG sectors declined around a per cent each.
Stocks that were in focus included
, which rose more than 4 per cent to hit a new 52-week high, , which gained over 9 per cent and , which hit new 52-week high before settling about a per cent higher.
Here’s what Jatin Gohil – Technical and Derivatives Research Analyst at
Securities, recommends investors should do with these stocks when the market resumes trading today:
Shree Renuka Sugar: Buy
Continuing its daily rising trend, the stock surpassed its prior swing high of Rs 63 and rose to fresh 10-year high of Rs 66. It has potential to move towards Rs 75 in the short-term and Rs 95 in the medium-term. The stock is positively poised above its major moving averages, and key technical indicators also favor the bulls. We believe undergoing positive momentum will continue.
Fresh long position can be initiated at the current juncture and on dips towards its 20-day EMA (currently placed at Rs 57) for the desired action. In the past, in case of any decline, the stock respected its 20-week EMA (currently placed at Rs 52) and resumed its northward journey subsequently.
IDBI Bank – Buy
On October 10, the stock extended gain post a gap-up opening and tested its short-term supply zone of Rs 46.50-48. The stock is poised for a breakout, which could take it towards Rs 57 initially and Rs 65 subsequently. The scrip settled above its key moving averages on medium-term as well as short-term timeframe charts, and its key technical indicators are also positively poised. Hence, possible breakout cannot be ruled out.
Fresh long position can be initiated at the current juncture and on dips towards its 20-day EMA (currently placed at Rs 43) for an expected rise. On the lower side, the stock will find support around its 50 per cent Fibonacci Retracement level of the prior up-move (Rs 30.50-47.70), which was placed at around Rs 39.
Tata Chemicals – Buy
The stock bounced after testing its prior point of polarity (placed at around Rs 1,050) and poised for a fresh up-move. It has the potential to explore uncharted territory, which could lead it towards its 61.8 per cent and 100 per cent Fibonacci Extension levels of prior up-move (Rs 773-1,194), placed at Rs 1,290 and Rs 1,450, respectively.
Its key moving averages are sloping upwards on long-term as well as medium-term timeframe charts, and the key technical indicators are also positively poised. In case of any decline, the counter will continue to find support around its prior point of polarity. A stable move below that point will invalidate desired action in the stock.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)