Indian benchmark indices managed post strong gains during the trading session Wednesday amid the positive global cues ahead of the US Fed outcome. However, subdued Q1 earnings and rich valuations kept a check on the gains. BSE Sensex surged 347.68 points, or 0.43 per cent, to end the day at 81,803.08. NSE's Nifty50 jumped 93.85 points, or 0.38per cent, to close at 24,951.15 for the day.
Some buzzing stocks namely ITC Ltd, Dabur India Ltd and Zomato Ltd are likely to remain under the spotlight of traders for the session today. Here is what Laxmikant Shukla, Technical Research Analyst at YES Securities has to say on these stocks ahead of Thursday's trading session:
ITC | Caution | Resistance: Rs 510 | Support: Rs 47
ITC has remained sideways for the last four-five days reflecting a pause in the ongoing bullish rally following the formation of bearish candles on the daily chart. The sentiment may continue to remain sideways due to the lack of a directional breakout or pattern formation. At the higher end, the level of Rs 510 might prove to be a crucial resistance level. A fresh rally is not anticipated as long as the stock remains below Rs 510. On the lower end, support is evident near its 20 SMA at Rs 470-465 zone.
Zomato | Buy | Resistance: Rs 255 | Support: Rs 216
Zomato has demonstrated a noteworthy breakthrough, exceeding the prior swing high on the monthly chart, indicating a sustained momentum in the ongoing trend. The momentum indicator RSI further reinforces the bullish sentiment by consistently staying above the level of 60. Regarding support and potential gains, the stock has established a robust foundation at the lower end, around the zone of Rs 216-220. This level is expected to serve as a support, acting as a safeguard against any potential downward movement.
Dabur India | Caution | Resistance: Rs 665 | Support: Rs 615
Dabur India has been trading sideways for the past four to six days, indicating a potential pause in the recent upward trend. Bearish price action on the daily chart has contributed to this consolidation phase. Without a clear breakout or recognizable chart pattern, the sideways movement is likely to persist. The level of Rs 660-665 is acting as a significant resistance barrier, suggesting limited upside potential until it's breached. On the downside, support is found near the zone of Rs 615-620.
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