Big Movers on D-Street: What should investors do with Tata Power, IIFL Fin, Century Textiles?

After hitting record highs intraday, domestic equities closed flat in a volatile session on Thursday, weighed down by selling in index majors such as Reliance Industries and private banking stocks.

The 30-share BSE Sensex ended 33 points higher or 0.1% to settle at 74119 points. The NSE Nifty gained 19 points or 0.1% to end at 22493 points.

A lot of action was visible in the broader market, and some of the prominent movers were Tata Power, IIFL Finance, and Century Textiles that rallied more than 6-9%.

Avdhut Bagkar, derivatives and technical analyst at StoxBox shares his views on the above-mentioned stocks and how one should trade in them when the market resumes on Monday.

Tata Power Co

Shares of Tata Power scaled a new all-time high, indicating a potential breakout towards the Rs 450-475 mark. The stock has entered the overbought territory of the Relative Strength Index (RSI), with volumes exceeding the previous 15-20 sessions.The price move is resilient, and expect momentum to continue in the following sessions. The immediate support emerges at Rs 410 and then at Rs 390.

IIFL Finance

The stock has fallen below the 200-SMA, signalling a negative bias, and bears have assumed control of the price action. To recoup the losing bias, the stock must display sharp reversal, or at least begin trading sideways.

Until that happens, the trend remains weak and more sell-off may occur. The next support exists at Rs 380 mark, with the barrier set at Rs 450.

Century Textile & Industries

Post hitting a fresh historic peak in January of this year, the price action has turned sideways with downside limited to the Rs 1,350 mark. Once the price scales above the peak of Rs 1,599, the breakout would steer the rally towards Rs 1500-1560 levels.

The current momentum shows a move in the same direction. Immediate support is at Rs 1,425, which is its 50-SMA needs to be maintained on the closing bias.

Vimta Labs

The stock is retesting the support of Rs 475, its 200-SMA, as per the daily charts.

On the upside, a consecutive close above Rs 525 would signal a breakout, leading a rally towards Rs 560-580 zones.

Unless the trend breaks its 200-SMA, the bias remains optimistic. Following support emerges at the Rs 450 level, which must be monitored if the 200-SMA is broken.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

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