Big movers on D-Street: What should investors do with IRB Infra, IGL and Dr Reddy's?
Equity markets took a heavy beating with the BSE Sensex tumbling 1,062 points on Thursday. Analysts said investors are trimming their equity exposure at a faster pace as the election season heats up, which can be seen from the drubbing that mid and small-caps received.
Stocks that were in focus include names like IRB Infra, which fell 3%, IGL, which was down 2.48%, and Dr Reddy's, whose shares declined 2.8%.
Here's what By Riyank Arora Technical Analyst at Mehta Equities, recommends investors should do with these stocks when the market resumes trading today.
IRB Infra
The stock has touched its anchor VWAP support mark of 66 on its daily charts. It is expected that the stock should hold well above its major support mark of 63.
So we advise holding on to IRB Infra with a strict stop-loss of 63 on a daily closing basis for potential upside targets of 73 and 79. With the RSI (14) on daily charts witnessing a minor uptick, it is expected that the stock should pick up good momentum in the upcoming few trading sessions.
IGL
The stock went up nearly 8% in Wednesday's session but later faced profit booking at higher levels, ending close to 3% higher for the day.
At present levels of 451, the stock has an immediate major support at the 425 mark, and an immediate resistance is placed near the 470 mark.
Overall, we expect the stock to remain sideways and face supply at higher levels and demand at lower levels, staying within the range of 425 — 470 for the week.
Dr Reddy's
The stock is trading well above its major
