Big movers on D-St: What should investors do with Indiabulls Housing, Welspun India and CanFin Homes?

The Indian market closed in the red on Wednesday for the fourth consecutive day, following weak global signals. The S&P BSE Sensex fell almost 300 points while the Nifty50 managed to close above the 16,100 level towards the close of trade.

Sector-wise, buying was seen in real estate, banking, and oil & gas stocks, while selling was seen in capital goods, IT, telecommunications, and consumer discretionary stocks. .

Stocks targeted include names such as Indiabulls Housing Finance, which plunged more than 20%,

plunged more than 17% and Cam Fin Homes fell more than 4% on Wednesday.

Here’s what Santosh Meena, head of research, recommends investors do with these stocks when the market resumes trading today:

Housing Finance Indiabulls: Avoid
The counter is experiencing a sharp drop after breaking the support of Rs 128. The overall structure is worrying; however, Rs 105-80 is likely to act as an area of ​​immediate demand where we can expect some market recovery.

On the upside, Rs 130-150 will act as a supply zone. It must exceed the Rs 150 bar for any type of strength.

India Welspun: Hold
The meter is witnessing a vertical drop, and a level of Rs 60 is likely to act as an immediate and critical support level where a rebound can be expected. The stock closed down 17% at Rs 63.80 on Wednesday on BSE.

If it slips below the 60 rupee mark, further pain can be expected towards the 47 rupee levels. On the upside, Rs 78/88 will be resistance levels.

Most momentum indicators are in oversold territory.

CanFin Homes: Bulls Eye Rs 500
The counter saw a sharp drop followed by a breakout of the symmetrical triangle formation where it also slipped below its key support of Rs 500, which is cause for concern for the bulls.

The Rs 450 level is another important support level. A close above Rs 500 could result in the meter quickly recovering towards the Rs 550/580 level, otherwise it could head towards the Rs 400 level.

(Disclaimer: The recommendations, suggestions, views and opinions given by the experts belong to them. These do not represent the views of Economic Times)