Should you buy gold-related stocks on Akshaya Tritiya? Check key levels

Titan, Kalyan Jewellers, PC Jeweller among others trade with a negative bias; these support levels can help you plan your trading strategy here.

Even as Gold prices trade at record high levels, shares of Gold making firms, namely jewellers, have been underperforming on the bourses amid concerns of lower demand owing to high prices.

Akshaya Tritiya, which is celebrated today, is considered a highly auspicious occasion. It is widely believed that any investment made on this auspicious day shall yield bountiful results, hence people in India tend to buy Gold or related asset classes on this day.

Meanwhile, amid the sluggish performance, most stocks of jewellery-related companies are indicating a negative bias on the technical charts. Here are the key support and resistance levels for Gold-related stocks.

Titan

Last close: Rs 3,246

Downside Risk: 9.5%

Support: Rs 3,260; Rs 3,225

Resistance: Rs 3,430

Titan stock has extended its fall in the last four trading sessions post the announcement of Q4 results. Even as the stock trades below the long-term moving average, i.e. the 20-DMA (Daily Moving Average), which is a negative sign. The stock could witness a pullback in the near-term as key momentum oscillators have entered oversold conditions. CLICK HERE FOR THE CHART

As such, Titan stock will need to trade consistently above Rs 3,260 for any meaningful pullback rally. In the event of such a trading activity, the stock can then attempt a pullback towards the 200-DMA, which stands at Rs 3,430. The broader trend, suggests that the stock may test its 100-WMA (Weekly Moving Average) at Rs 2,938 in the coming trading sessions.

Kalyan Jewellers

Last close: Rs 397

Downside Risk: 19.9%

Support: Rs 387; Rs 380

Resistance: Rs 405; Rs 11; Rs 420

Kalyan Jewellers stock is presently seen testing the super trend line support, which stands at Rs 387. In the process, the stock is also seen attempting to preserve its trend of higher highs and higher lows on the daily scale. Below the trend line support, the stock has near support at Rs 380 - its 100-DMA. CLICK HERE FOR THE CHART

However, the price-to-moving averages action is on the verge of turning negative for Kalyan Jewellers stock, with the 20-DMA (Rs 411) seen sloping downwards and now very close to the 50-DMA (Rs 404).

As such, it seems like the upside for the stock may be capped around Rs 420 levels for now. On the flip side, break and sustained trade below Rs 380, can open the doors for a deeper slide towards the 200-DMA, which stands at a distance Rs 318.

PC Jeweller

Last close: Rs 50.90

Downside Risk: 21.8%

Support: Rs 48.10 

Resistance: Rs 55.30

PC Jeweller stock too looks tepid on the chart. The stock is presently testing support around 100-WMA (Weekly Moving Average) at Rs 48.10. As long as this support is held, the stock may look to bounce back to Rs 60 levels, with interim resistance likely at Rs 55.30. CLICK HERE FOR THE CHART

On the flip side, break and sustained trade below the 100-DMA, can trigger a fall towards the 50-WMA which stands at Rs 39.80.

Tribhovandas Bhimji Zaveri (TBZ)

Last close: Rs 107.50

Downside Risk: 7.9%

Resistance: Rs 111; Rs 118

TBZ has given a breakdown on the daily chart, by closing below the lower-end of the Bollinger Bands on the daily scale. The stock is likely to trade with a negative bias as long as it sustains below Rs 111. On the downside, the stock may seek support around the weekly super trend line support at Rs 99. The upside for TBZ stock seems capped around Rs 118. CLICK HERE FOR THE CHART

Vaibhav Global

Last close: Rs 376

Downside Risk: 9.6%

Support: Rs 365; Rs 360

Resistance: Rs 405; Rs 420

Vaibhav Global stock seems headed towards its super trend line support, which stands at Rs 365. Key momentum oscillators are in favour of the bears for the stock. In case of an up move, the stock is expected to face considerable resistance around Rs 405 levels. The overall trend for the stock is expected to remain tepid as long as it trades below Rs 420.

On the downside, the stock has multiple supports around Rs 360 range; break of the same can trigger a slide to Rs 340 levels. CLICK HERE FOR THE CHART