Adani Enterprises, SBI, Tata Steel: What should be your strategy amid the volatility
Adani Enterprises has seen a strong sell-off and for the current week, it is down by 44.52 per cent and on a yearly basis, it is down by 58.87 per cent.
- Feb 6, 2023,
- Updated Feb 6, 2023 8:09 AM IST
Domestic benchmark indices ended the last session of the week with robust gains on Friday and settled sharply higher. Adani Group stocks once again hogged the limelight at Dalal street. BSE Sensex surged 909.64 points, or 1.52 per cent, to 60,841.88, whereas Nifty50 rallied 243.65 points, or 1.38 per cent, to 17,854.05 for the day.
Select stocks such as Adani Enterprises, State Bank of India and Tata Steel were on the traders' radar amid the strong trading session at Dalal street. Here is what Mileen Vasudeo, Senior Technical Analyst at Arihant Capital Markets suggests investors should do with these stocks during the Monday's trading session:
Adani Enterprises | Sell | Target Price: Rs 1,000-600 | Stop Loss: Rs 1,980 | The stock has seen a strong sell-off. For the current week, it is down by 44.52 per cent and on a yearly basis, it is down by 58.87 per cent. At present, the RSI is in an extremely oversold zone. Hence a bounce cannot be ruled out from the current levels. Hence, hold the short position with a stop loss of Rs 1,980 with a target of Rs 1,000 – Rs 600 levels in a couple of weeks.
State Bank of India | Sell | Target Price: Rs 500-470 | Stop Loss: Rs 580| The stock is maintaining a lower top lower bottom on the daily chart. At present, we are observing a pullback in a downtrend. On the daily chart, there is a strong supply zone in the range of Rs 540 to Rs 568. The RSI has exited the oversold zone; hence a pullback cannot be ruled out. Hence, one can hold a short position with a stop loss of Rs 580 for a target of Rs 500 – Rs 470 levels in the next couple of weeks.
Tata Steel | Buy | Target Price: Rs 135-145 | Stop Loss: Rs 110 | The stock is maintaining a higher high formation on the weekly chart. Further, the momentum indicator viz. RSI is positively poised. The stock is showing higher relative strength. This suggests that the upside momentum is likely to continue. Hence, one can buy at current prices or Rs 120 with a stop loss of Rs 110 for a target of Rs 135 - Rs 145 in a couple of weeks.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Business Today)
Also read: SGX Nifty down 27 points: Asian markets, dollar movement, Q3 earnings, FPI flows & more
Also read: Valuation guru Aswath Damodaran won't buy Adani group shares. Hindenburg report not a reason
Domestic benchmark indices ended the last session of the week with robust gains on Friday and settled sharply higher. Adani Group stocks once again hogged the limelight at Dalal street. BSE Sensex surged 909.64 points, or 1.52 per cent, to 60,841.88, whereas Nifty50 rallied 243.65 points, or 1.38 per cent, to 17,854.05 for the day.
Select stocks such as Adani Enterprises, State Bank of India and Tata Steel were on the traders' radar amid the strong trading session at Dalal street. Here is what Mileen Vasudeo, Senior Technical Analyst at Arihant Capital Markets suggests investors should do with these stocks during the Monday's trading session:
Adani Enterprises | Sell | Target Price: Rs 1,000-600 | Stop Loss: Rs 1,980 | The stock has seen a strong sell-off. For the current week, it is down by 44.52 per cent and on a yearly basis, it is down by 58.87 per cent. At present, the RSI is in an extremely oversold zone. Hence a bounce cannot be ruled out from the current levels. Hence, hold the short position with a stop loss of Rs 1,980 with a target of Rs 1,000 – Rs 600 levels in a couple of weeks.
State Bank of India | Sell | Target Price: Rs 500-470 | Stop Loss: Rs 580| The stock is maintaining a lower top lower bottom on the daily chart. At present, we are observing a pullback in a downtrend. On the daily chart, there is a strong supply zone in the range of Rs 540 to Rs 568. The RSI has exited the oversold zone; hence a pullback cannot be ruled out. Hence, one can hold a short position with a stop loss of Rs 580 for a target of Rs 500 – Rs 470 levels in the next couple of weeks.
Tata Steel | Buy | Target Price: Rs 135-145 | Stop Loss: Rs 110 | The stock is maintaining a higher high formation on the weekly chart. Further, the momentum indicator viz. RSI is positively poised. The stock is showing higher relative strength. This suggests that the upside momentum is likely to continue. Hence, one can buy at current prices or Rs 120 with a stop loss of Rs 110 for a target of Rs 135 - Rs 145 in a couple of weeks.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Business Today)
Also read: SGX Nifty down 27 points: Asian markets, dollar movement, Q3 earnings, FPI flows & more
Also read: Valuation guru Aswath Damodaran won't buy Adani group shares. Hindenburg report not a reason