Stocks that were in focus include names like Equitas Small Finance Bank which was up more than 4%, L&T Finance Holdings which gained over 2% and DLF which closed with gains of nearly 2% on Monday.
Here’s what Jatin Gohil, Technical and Derivative Research Analyst at Reliance Securities recommends investors should do with these stocks when the market resumes trading today:
Equitas Small Finance Bank – Partial profit booking
On 8th May’23, the stock registered a new lifetime high of Rs 78 after positive news flow. Later, the stock erased partial gains and formed an indecisive pattern-Doji on the daily chart.
The key technical indicators are positively poised on major time-frame charts. As per the current set-up, the index may remain sideways or witness profit booking before fresh up-move starts.
A follow-up move will invalidate near-term uncertainty and could support the stock to move toward Rs 90.
L&T Financial Holding – Book profit
The stock resumed its up-move and rose to a 52-week high of Rs 99. The stock is near its medium-term supply zone of Rs 96-100.
In the past, the stock reversed after testing its supply zone. Its short-term technical indicators tested the overbought zone.
A convincing move below Rs 96 may drag the stock toward the Rs 86-82 zone. Only a stable move above Rs 100 will confirm the continuation of a bullish trend.
DLF – Partial profit booking
Continuing its prior daily rising trend, the stock rose to a 52-week high of Rs 440 in yesterday’s trade. The stock is near its prior swing high of Rs 450. The key technical indicators oscillated around its overbought zone.
A stable move above Rs 450 may accelerate undergoing positive momentum. In the meanwhile, the stock may oscillate in the narrow range or may witness profit booking.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
