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Big Movers on D-St: What should investors do with Nazara, HDFC and HDFC Bank?- Newshubweek

Big Movers on D-St: What should investors do with Nazara, HDFC and HDFC Bank?- Newshubweek
Written by Arindam

Indian market closed higher on Friday for the second consecutive day. The S&P BSE Sensex rose over 450 points while the Nifty50 closed just a shade below 15,700 levels.

Sectorally, buying was seen in telecom, auto, utilities, power, and consumer discretionary while marginal selling was seen in IT stocks.

Stocks that were in focus included names like

which rallied over 19 per cent, and and which rose a little over 1 per cent.



Here’s what Santosh Meena, Head of Research, recommends investors should do with these stocks when the market resumes trading today:

Nazara Technologies: 50-DMA crucial
The counter is witnessing a sharp bounce back after a severe fall, however, Rs 644 is a key hurdle that coincides with the 50-DMA. For the stock to move higher, it needs to cross this crucial hurdle placed at the 50-DMA for any meaningful recovery.

If it manages to cross the Rs 644 level, then we can expect a rally towards the Rs 730 level. On the downside, Rs 570 will act as strong support now.

If we look at the momentum indicator, Relative Strength Index, or the RSI then it is showing a strong positive divergence.

HDFC: Positive crossover in both MACD and RSI
The counter is trying to form a base in the Rs 2100-2050 zone where Rs 2200 is an immediate hurdle, above this, we can expect a rally towards Rs 2280/2390/2500 levels.

There is a positive crossover in both MACD and RSI which is indicating a pullback rally in this counter. Rs 2120 is a strong support level on an immediate basis.

HDFC Bank: MACD is witnessing a positive crossover
It has created a strong base at the Rs 1300 level with a triple bottom formation and is now ready for a pullback rally where Rs 1400 is an immediate hurdle, and then Rs 1460 will be the next target level.

MACD is witnessing a positive crossover whereas RSI has moved above 50 levels to generate positive momentum.

(Disclaimer: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of Economic Times.)

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Arindam

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