Big Movers on D-St: What should investors do with Adani Ports, Lemon Tree and Aegis Logistics?

Sectorally, buying was seen in capital goods, power, metals, utilities, and auto stocks while some selling was seen in oil & gas stocks.

Stocks that were in focus include

which fell more than a per cent post June quarter results, Lemon Tree rose more than 5 per cent, and closed with gains of nearly 9 per cent on Monday.

Indian market remained shut on Tuesday on account of a public holiday.

Here’s what Jatin Gohil, Technical and Derivative Research Analyst at Securities recommends investors should do with these stocks when the market resumes trading today:

Adani Ports: Book Profits

After a sharp recovery from its lowest level of Jun’22 (i.e. 26 per cent from Rs 653), the stock oscillated around its point of polarity, which was placed at around Rs 820.

Above average volume, rise in future open interest, and bearish cross-over on short-term timeframe chart signals, the stock may witness profit booking before it resumes the up-move.

In the case of profit booking, the stock may find support around the Rs 745-740 zone, where the 50-day EMA and 200-day SMA are placed.

However, a stable move above the point of polarity will negate the probable decline in the stock and could take it towards Rs 885-901-925.

Lemon Tree Hotels: Buy

On 5th Aug’22, the stock crossed its short-term supply zone (placed at around Rs 71) convincingly, and later extending its gain, it rose to a 3-year high. Its volume remained above average for the last couple of days, which signals that major market participants are in favour of the bulls.

Upward sloping moving averages and positively poised technical indicators vindicate that undergoing positive momentum will continue, which could lead the stock towards Rs 90 initially and Rs 100 subsequently.

A fresh long position can be initiated at the current juncture and on dips towards Rs 71 for the desired action. On the lower side, the stock will find support around its long-term moving average (100-day SMA), which is placed at Rs 64.

Aegis Logistics: Buy

In late Jul’22, the stock surpassed its medium-term supply zone (placed at around Rs 250) convincingly and after an upward oscillation, it rose to a 52-week high of Rs 290.

The key technical indicators are in favour of the bulls on long-term as well as medium-term timeframe charts.

The stock has the potential to move towards its point of polarity initially (placed at around Rs 340) and its lifetime-high of Rs 388, subsequently.

A fresh long position can be initiated at the current juncture and on dips towards Rs 275 for a probable up-move.

In case of any decline, the stock will find support around its breakout point, which is placed at around Rs 250.

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