Vodafone Idea shares jump 14% to hit one-year high; can this up move sustain?

Shares of Vodafone Idea Ltd rose sharply in Wednesday's trade, extending their gains for the fourth straight session. The stock surged 13.88 per cent to hit its 52-week high of Rs 13.54. At this price, the scrip has gained 96.80 per cent in the past six months.

On the much-awaited funding topic, Vodafone Idea CEO Akshaya Moondra, in an earnings call, said the discussions are currently progressing. "We should be able to conclude these discussions in this quarter," Moondra stated.

Technical analysts said immediate support on the counter could be seen around Rs 12.5 level. On the higher side, the stock may see up to Rs 16 level in the near term.

The stock may touch Rs 14.50 in the near term, said DRS Finvest founder Ravi Singh suggested. Keep stop loss placed at Rs 12.50, Singh added.

"Vodafone Idea is bullish on daily charts and has strong support at Rs 12.55. A daily close above resistance of Rs 13.75 could lead to target of Rs 15.8 in the near term," said AR Ramachandran from Tips2trades.

"The stock could hit Rs 16 level in the upcoming weeks. Traders can hold this stock with a stop loss of 10.50 for the mentioned target price," said Ganesh Dongre, Senior Manager - Technical Research Analyst, Anand Rathi Shares and Stock Brokers.

The counter was last seen trading higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-, 200-day simple moving averages (SMAs). The counter's 14-day relative strength index (RSI) came at 68.74. A level below 30 is defined as oversold while a value above 70 is considered overbought.

The scrip has a one-year beta of 1.11, indicating high volatility. As of September quarter, promoters held 50.36 per cent stake in the telecom operator.

(Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.)

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