Big Movers on D-St: What should investors do with MRPL, Chennai Petro and Oil India?

The Indian market closed in the red for the third consecutive day in a row on Tuesday following muted global cues. The S&P BSE Sensex fell more than 500 points while the Nifty50 closed below 16,500 levels.

Sectorally, buying was seen in oil & gas, energy, and utilities while selling pressure was visible in consumer durables, realty, capital goods, and FMCG.

Stocks that were in focus include names like MRPL which rallied nearly 20 per cent, Chennai Petroleum rose nearly 15 per cent, and Oil India gained nearly 3 per cent on Tuesday.

Here's what Santosh Meena, Head of Research, Swastika Investmart Ltd recommends investors should do with these stocks when the market resumes trading today:

MRPL: Buy
The counter is in strong bullish momentum and the stock is trading near its 52-week high levels. Overall, the structure looks lucrative as it trades above all its moving averages. It has a strong demand zone near Rs 80-85.

On the upside, Rs 113 is an immediate resistance area. A close above Rs 113 will open room towards Rs 124+ levels in the near term. On the downside, if it slips below Rs 80 levels then we can expect some profit booking.

Chennai Petro: Buy
The counter is in a strong bullish momentum, and it is likely to head towards the immediate resistance zone of Rs 400-405.

A close above Rs 400-505 will open room for the stock to head towards Rs 450-470 which will act as the next resistance area.

On the downside, Rs 320 will act as a strong support level while Rs 270 will be a pivot point for any kind of reversal. Momentum indicators are positively poised to support the current strength.

OIL India: Buy
The counter is witnessing a stellar move after building a strong base near its 200-DMA; however, Rs 300-310 is an immediate supply zone where we can expect some profit booking.

A close above Rs 310 will open room for the stock to head towards Rs 325. On the downside, the previous breakout level of Rs 260 will act as strong support.

Momentum indicators are positively poised; however, some of them are in overbought territory.

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