Sectorally, buying was seen in capital goods, FMCG, IT, and consumer durable stocks while selling was seen in power, utilities and auto stocks.
Stocks that were in focus include names like KEI Industries which was up over 4%, Cyient closed with gains of nearly 6% and NYKAA rose nearly 8% and was among the top gainers on Wednesday.
Here’s what Naveen Mishra, Senior Research Analyst – Equity Research at CapitalVia Global Research Ltd recommends investors should do with these stocks when the market resumes trading today:
KEI Industries: Buy on Dip
Despite the recent fall in the market, KEI was sustaining well on the higher side. On Wednesday, KEI Industries made a fresh all-time high of Rs 1820.
It has given a good consolidation breakout. RSI is also sustaining above 60 in daily time frame which indicates overall bullish movement.
If it sustains above the level of Rs 1750 on a closing basis, then we can expect further upside movement. On the downside, the level of Rs 1550 can act as a major support. One can go for buy on dip strategy in this.
Cyient: Buy on Dip
Following several changes to its senior leadership on Wednesday, Cyient’s stock price increased by 5%. Krishna Bodanapu and Karthikeyan Natarajan have been reassigned by the business as executive director and chief executive officer and executive vice-chairman and managing director, respectively.Technically, Cyient is in an uptrend and has broken out of a rising channel pattern, so it appears bullish.
However, the RSI has not yet given a breakout in the daily time period, so there may be volatility in price movement. The best approach, in this case, will be to buy on a dip.
Nykaa: Buy on Resistance Breakout
Nykaa is significantly in a downtrend and is unable to sustain at higher levels. So, until it breaks through the level of 157 resistance, one should refrain from taking a position.
It is creating a falling wedge pattern on the weekly chart, so once it breaks out and maintains above the said level, we can expect levels of 167 and 175.
(Disclaimer: Recommendations, suggestions, views and opinions given by experts are their own. These do not represent the views of Economic Times)
