All indices ended in the green, with metal jumping 1.7%, real estate 1.52%, oil and gas 1.34%, energy 1.25%, energy 1.06% and FMCG 1.06%.
Stocks that received attention include names like torrent powerwhich gained almost 16%, be protectedwhich rose 3% and Varun drinkswhose shares fell nearly 2.17% on Wednesday.
Here's what Riches Vanara, a derivatives and technical analyst at Stoxbox, recommends investors do with these stocks when the market resumes trading today:
Torrent Power - Avoid
Torrent Power is up over 20% in the last 3 trading sessions after a breakout of the contractionary volatility pattern.
The RSI is trading in the extreme oversold zone and volatility remains at the high end. We anticipate the price action to catch a breather before it resumes its bullish move. Therefore, investors should avoid starting new longs.
Nestle Mexico - Buy
Price action in the previous trading session witnessed a sharp pullback after testing the 20 DEMA support. The intraday pullback had enough momentum to propel price action to break above the base pattern on an elongated cup and handle.
The next move now opens the room towards the Rs 24,660 level while support comes in at Rs 21,550.
Varun Drinks - Avoid
The price action has formed a minor fundamental resistance at its 52-week high at Rs 1747. The price action faces an immediate bid near the zone and sees follow-through lower on increasing volume.
Therefore, it is better to avoid new long positions in the future until the aforementioned resistance is decisively removed.
(Disclaimer: The recommendations, suggestions, views and opinions given by the experts are my own. These do not represent the views of Economic Times)
