Big movers on D-Street: What should investors do with Dr Reddy's, Dixon and IRFC?
Sensex breached a new milestone of 70,000 points before closing 102 points higher, while Nifty settled just shy of the 21,000 mark on Monday.
Stocks that were in focus included names like Dr Reddy's, which fell (5%), Praj Industries, which rose 7.2%, and IRFC, whose shares increased 7.64% on Monday.
Here's what Avdhut Bagkar, Derivatives & Technical Analyst at StoxBox, recommends investors should do with these stocks when the market resumes trading today.
Dr Reddy's Laboratories
Shares of Dr Reddy's Laboratories have broken the 50-simple moving average (SMA) and 100-SMA, with volumes staying high on the selling side.
The stock may lose shine if it fails to show strong recovery in the next two to three sessions. The next support exists at 5148, its 200-SMA.
To recoup the losing bias, the stock now needs to surpass 5600 with uncompromising volumes.
Dixon Technologies
Following an accumulation around 6000 level, the price action has broken out on the upside steering fresh rallies for the coming sessions.
The trend remains positive with price hinting towards 6700 – 7000 range.
A closing basis support of 5600 should hold the upward bias intact.
IRFC
Since the last two months, the counter has been trading sideways, witnessing accumulation near its 50-SMA placed at 74.50 mark. An influential move over 80 has prompted a breakout that could aim at reaching 90 and 95 levels.
Firmness over 90 could add more bullishness towards 100, entering into the three-digit club.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
