Big movers on D-Street: What should investors do with AB Capital, Aster DM and Vodafone Idea?

Equity indices snapped the three-day winning run on Tuesday amid weak trends in US markets. The 30-share Sensex declined 110 points to settle at 73,903 and the broader Nifty closed lower by 8 points at 22,453.

Stocks that were in focus included names like AB Capital, which jumped 10.5%, Aster DM, which rose 0.5%, and Vodafone Idea, whose shares declined nearly 3% on Tuesday.

Here’s what Viral Chheda, Sr Technical Analyst, SSJ Finance & Securities, recommends investors should do with these stocks when the market resumes trading today.

AB Capital
After making the low around 155 in Dec 2023, price has given a sharp upside move to make an all time high of 199.6 odd levels. Price has given almost 28% returns from its lower level as Bulls were having upper hand over bears.

The stock is currently making a higher top higher bottom pattern. It is moving in Bull Run and closing above its previous all time high level of 199 indicates further upside till 250-280. On the lower side it has support at 165 odd levels, until these lows are intact we can see new highs.

The Stochastics Oscillator is moving in an upward trend along with an increase in volume indicating upside movement with limited downside risk. Hence one can buy at current level and more at dips of 180 with SL of 165 on weekly closing basis and upside can be seen till 280-320 in next 10-12 months.Aster DM
After making an all time high around 495 in Feb 2024, price has witnessed a bear run to make the low of 402 odd levels. Price has given almost 93 points correction as sellers were having upper hand over bulls.

The stock is currently facing more selling pressure and can see further downside to test the previous lows of 380 levels. On the higher side once the 420 level is taken out we can see some recovery till 440-470 odd levels.

Currently one should avoid buying this stock and can wait for some further dip till 380. The Stochastics Oscillator is moving in a downward trend indicating downside movement with limited upside move. Hence one should avoid buying at current level and can buy at dips of 380 with SL of 340 on weekly closing basis and upside can be seen till 450-500 in next 10-12 months.

Vodafone Idea
In the daily we can see that after making the double top around 18.4 in Feb 2024, price has given a correction to make the low of 11.75 odd levels.

The price has given almost 40% corrections as Bears were having full control over price. At lower level after taking support of 200 DMA around 11.60 price has given some pull back to make the high of 14.25. Currently the price is moving sideways, having support around 12.50 and resistance around 14.50. Breakouts on either side can witness a sharp move.

Stock is good for the long term but at current level one should wait for stock to move above 14.5 odd levels. Hence one should wait to buy above 14.5 and then more at dips of 12.5 with SL of 11 on weekly closing basis and upside can be seen till 18-22 in next 10-12 months.

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