Big movers on D-Street: What should investors do with RVNL, Gland Pharma and United Spirits?
Sensex fell 255 points at 64,831, while the broader Nifty lost 93 points to settle at 19,253.
Stocks that were in focus included names like RVNL, which rose 2.1%, Gland Pharma, which gained 9.68%, and United Spirits, whose shares declined 0.35% on Thursday.
Here's what Amol athawale, Technical Analyst-VP at Kotak Securities, recommends investors should do with these stocks when the market resumes trading today
RVNL — Neutral
In this week so far, the stock rallied over 5%. After a long consolidation, eventually the stock cleared the short-term resistance of 129 and formed a bullish candle on weekly charts, which is largely positive.
However, the larger texture of the stock is still non-directional.
We are of the view that 127 would be the immediate support level for the traders.
Above which, the stock could rally till 140-142. On the flip side, below 127 uptrend would be vulnerable.
Below the same, the stock could retest the level of 125-120 or 50 day SMA (Simple Moving Average).
Gland Pharma — Buy
Last Thursday, the stock rallied nearly 10%. Despite weak market conditions, the stock held a positive momentum.
Technically, on daily and weekly charts, it has formed a long bullish candle which indicates strong possibility of further uptrend from the current levels.
For the trend following traders now, 1660 would be the trend decider level.
Above which, the stock could rally till 1820-1865. However, below 1660 traders may prefer to exit out from the trading long positions.
United Spirits — Buy
After a promising uptrend rally, the stock is witnessing positive consolidation near the 20 day SMA (Simple Moving Average).
We are of the view that, positive consolidation formation near 20 day SMA and higher bottom formation on daily
