ITC, Sun TV, Coal India: Here's how to trade result-driven stocks

Most stocks need to conquer their 200-DMA for the next surge.

A host of companies announced their financial results for the quarter and fiscal year ended March 31, 2020 after market hours on Friday and during the weekend. 

ITC, for instance, reported a 9.28 per cent rise in its consolidated net profit at Rs 3,926.46 crore while NTPC's net profit declined over 70 per cent to Rs 1,523.77 crore. The country’s largest power generating company, state owned NTPC Limited registered a 14.15 per cent increase in profit before tax (PBT) for FY20. The company’s PBT stood at Rs 14,465.92 crore in FY20 against Rs 12,672.52 crore in FY19.

Here's a look at how key result-driven stocks look on charts and how you should trade them.

ITC Ltd (ITC): The immediate selling pressure above Rs 205 levels led to a correction below Rs 200. Going forward, if the weakness continues to persist around Rs 200, then the counter may see correction towards Rs 192 and Rs 186 levels. The support comes in at Rs 185, which is its 100-day moving average (DMA). The overall trend looks stable and may see added interest only above Rs 215 level. CLICK HERE FOR THE CHART
 
Coal India Ltd (COALINDIA): This stock needs to hold the support of 50-DMA placed at Rs 136 levels. If it fails, then the breakdown may see Rs 125 as an immediate level. On the higher side, 100-DMA is acting as resistance located around Rs 143. A strong close above the same may see upside towards Rs 151 levels. The Relative Strength Index (RSI) is forming “Head and Shoulder” pattern and a close below 50 value may see accelerated weakness. CLICK HERE FOR THE CHART
 
Sun TV Network Ltd (SUNTV): This is the third time this counter is attempting to cross 200-DMA. The trend looks promising as weakness is holding the support of Rs 400 levels. Going forward, if the counter manages to stabilise above Rs 425, then it may see Rs 440 and Rs 447 levels. The RSI and MACD are trading with a positive crossover, suggesting an upward sentiment.  CLICK HERE FOR THE CHART
 
NTPC Ltd (NTPC): The key level is Rs 105.50 which is its 200-DMA. One can expect the next leg of breakout above the same.  The closing basis support comes in at Rs 94 levels. The trend looks promising as the 100-DMA has been decisively conquered. One can expect a rally towards the resistance of Rs 105.50 levels. CLICK HERE FOR THE CHART