Tech Breakout Stocks: How to Trade CRISIL, HFCL and EIH Hotels on Wednesday
The Nifty50 index closed 74 points higher at 22,196. It reached an all-time high of 22,251 during the day. S&P BSE Sensex rose over 300 points.
By industry, buying pressure was seen in the banking, real estate, power, and utility industries, while selling pressure was seen in the IT, automobile, and metal industries.
Stocks in focus on Tuesday include names like CRISIL, which hit a new high of 5,250. But the stock pared its gains by the end of trading. It has risen more than 20% so far in February.
CRISIL stock gained momentum after its December quarter results in which the domestic rating agency reported that its net profit rose over 30 per cent to Rs 210 crore in the December 2023 quarter.
Other stocks still in focus include EIH Hotels, which pared gains after hitting record highs, and HFCL, which closed up nearly 3% on Tuesday. We’ve seen new 52-week highs, record highs, volume or price breakouts.
We spoke with analysts about how we should view these stocks in the coming trading days, purely from an educational perspective.
Here’s what analyst Sanket Thakar, CMT and founder of Alpha Bot Capital, had to say:
EIH Hotel
Shares of EIH Hotels hit an all-time high on Tuesday amid heavy volume. However, the large trading volume eventually led to a sharp decline.
We witnessed profit booking at higher levels and the stock also closed below the trendline resistance at 425 level.
EIH Hotels is very likely to revert to support levels 378 and 345 in the near future.
ETMarkets.comchrysil
CRISIL has seen a sharp rise this month and the overall trend remains upward.
On the intraday chart, the near-term flag pattern target of Rs 5,320 level was about to be met, which may act as short-term resistance due to profit booking.
The nearest support area is the lower trendline level at 4,750.
ETMarkets.comHFCL
On the long-term and medium-term charts, HFCL is showing a bullish trend. In the current intraday chart scenario, the stock can move at the resistance level of 117.5 and the support level at 97.5.
If HFCL closes above the upper trendline, it may reach the 122.5 level in the near term.
ETMarkets.com(Disclaimer: Expert recommendations, suggestions, views and opinions are their own and do not represent the views of The Economic Times.)
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