With markets remaining volatile since the past few days, there are five stocks that are witnessing added selling pressure and may continue to see more downside over the next few sessions.
GlaxoSmithKline Consumer Healthcare Ltd (GSK Cons), Monsanto India Limited, Ge T&D India Ltd, Tata Elxsi and Voltas are among the few stocks in the S&P BSE 500 index can see more sell-off, their technical chart pattern suggests.
GSKCONS: The stock is losing momentum as its trades below 100-days moving average (DMA) located at Rs 7,285 as per daily chart. There is resistance around Rs 7,700 on the weekly scale, and the counter has consistently failed to hold and sustain above this level. The chart formation also reveals near-term pressure in the range of Rs 7,400 – Rs 7,500 levels. The current trend indicates stock heading towards Rs 6930, which is its 200-day moving average (DMA). A breach on the downside can take the stock to Rs 6,310 levels. CLICK HERE TO VIEW CHART
MONSANTO: The stock has recently entered below zero line on the MACD indicator, suggesting a negative sentiment as per the daily chart pattern. At the current level of Rs 2,560, the counter is trading below significant all three moving averages – the 50-days moving average (DMA), 100 DMA and 200 DMA. The chart formation looks similar to consolidation phase. That said, strong pressure has been witnessed above Rs 2,700. A breaching of Rs 2,500 on the downside can take the stock to Rs 2,250 levels. CLICK HERE TO VIEW CHART
GE T&D: The stock has failed to stabilise above crucial level of Rs 300 on the weekly scale. The level below Rs 290 indicates lack of participation by market participants. All the technical indicators - RSI (Relative Strength Index (RSI), Stochastic and MACD (moving average convergence and divergence) – are trading in negative crossover, as per the daily chart. The counter may slip to Rs 250 levels. CLICK HERE TO VIEW CHART
TATA ELXSI: Tata Elexi has broken its 200 days moving average (DMA) in the weekly chart. The sentiment looks weak as the MACD trades below zero line with a negative crossover. Tata Elxsi has broken an important support of Rs 900 and is witnessing selling pressure on every possible recovery. The immediate support comes in at Rs 790, where it’s likely heading. The next support falls at Rs 760. CLICK HERE TO VIEW CHART
VOLTAS: The weekly formation indicates “Falling channel pattern”. The upper falling trend-line is currently located at Rs 600 level with lower falling trend line at Rs 450 level. The stock has broken crucial support of Rs 525 on the weekly scale. As the pattern suggests, the trend remains down and the counter is most likely to head towards Rs 450. The immediate resistance comes at Rs 560, as per the chart. CLICK HERE TO VIEW CHART