Big Movers on D-St: What should investors do with Equitas Small Finance Bank, L&T Finance Holdings and DLF?

Sectorally, the rally was seen in auto, realty, banks, and IT stocks while selling was visible in consumer durables.

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)