Big Movers on D-St: What should investors do with Vedanta, Aegis Logistics and Gland Pharma?

Indian markets closed in the green on Monday after falling over 1% in the last two trading sessions. The S&P BSE Sensex rose more than 160 points while Nifty50 closed above 17600 levels.

Sectorally, buying was seen in IT, and consumer durables while selling was visible in utilities, power, oil & gas, and energy stocks.

Stocks that were in focus include names like Vedanta which closed in the green, Aegis Logistics which gained more than 11%, and Gland Pharma which ended with a loss of more than 3%.

Here's what Pravesh Gour, Senior Technical Analyst, Swastika Investmart Ltd. recommends investors should do with these stocks when the market resumes trading today:

Vedanta: Buy
The stock has witnessed a breakout of a bullish inverse head and shoulder formation with the surge in volume and then retested its neckline resistance at around Rs 313.

The stock is facing resistance at the Rs 325 level; above this, we are expecting a long run-up toward Rs 340 levels.

On the downside, Rs 315 is major support during any correction, while Rs 311 is the next critical support level. Momentum indicators are positively poised to support the current strength.

Aegis Logistics: Buy
The counter is in a classical uptrend, as it has higher highs & higher lows. On the daily chart, it also saw the breakout of a long consolidation formation with declining volume.

The structure of the counter is very bullish, as it trades above all important moving averages. It has broken a neckline at around Rs 360–363 levels on the daily chart.

The momentum indicators RSI (relative strength index) and MACD (moving average convergence divergence) are negatively placed.

On the upside, Rs 368 is an important psychological resistance level, above which we can expect Rs 410+ levels in the near term, while on the downside, Rs 350 is the support level, below which we can expect the Rs 340 level.

Gland Pharma: Sell
The primary structure of the counter is continuously following the downtrend. The stock has broken neckline support at Rs 1700, which was the listing low with strong volume. The stock is trading below all of its moving averages, which is also a negative sign for the counter.

On the downside, Rs 1350 is the critical level; below this, we can expect a free fall until Rs 1300. On the upside, Rs 1700 is an immediately susceptible area.

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