Trading strategy in Angel One, other stock brokers ahead of Groww IPO debut

Groww IPO in focus: Technical charts suggest that 5Paisa, Angel One and Motilal Oswal were trading with a negative bias and could drop up to 18%; whereas Nuvama can potentially rally up to 13%.

The Bengaluru-based fintech company that offers direct-to-customer digital investment platform, Groww IPO was subscribed up to 1.64 times at the end of the Day 2 of the offer period.  Groww IPO received bids for up to 59.82 crore equity shares as against 36.47 shares on offer for sale, amounting to ₹6,632 crore. Portion allotted for retail investors was subscribed up to 5 times. Groww IPO closes today and the stock is likely to be listed on the BSE and NSE next week. 

  Meanwhile, here's a technical outlook on some of the other prominent listed stock broking firms namely - Angel One, Motilal Oswal Financial Services, Nuvama Wealth Management, Anand Rathi Wealth and 5Paisa Capital: 

Angel One

Current Price: ₹2,474  Likely Target: ₹2,170  Downside Risk: 12.3%  Support: ₹2,448; ₹2,350  Resistance: ₹2,490; ₹2,530; ₹2,626; ₹2,669  Angel One stock is seen consolidating around its long-term moving averages - the 100-Day Moving Average (100-DMA) and the 200-DMA on the daily chart for nearly a month now. The 100-DMA stands at ₹2,535, and the 200-DMA at ₹2,490. The stock at present is also seen near its 20-DMA, which stands at ₹2,459. 

 

 

  Further, the weekly chart suggests that the overall bias at the counter is likely to remain tepid as long as Angel One trades below the 100-Week Moving Average (100-WMA) at ₹2,6226 and the trend line hurdle at ₹2,669. On the downside, the stock can slip to ₹2,350; below which a dip towards ₹2,170 seems likely. 

Motilal Oswal Financial Services

Current Price: ₹971  Likely Target: ₹850  Downside Risk: 12.5%  Support: ₹951; ₹928; ₹905  Resistance: ₹1,010; ₹1,055  The short-term trend for Motilal Oswal is likely to be tepid as long as the stock sustains below ₹1,078; with interim resistance visible at ₹1,009 and ₹1,055 levels. On the downside, the stock can dip to ₹850. Intermediate support can be anticipated around ₹951, ₹930 and ₹905. 

 

 

Nuvama Wealth

Current Price: ₹7,150  Likely Target: ₹8,100  Upside Potential: 13.3%  Support: ₹7,035; ₹6,870  Resistance: ₹7,500; ₹7,750; ₹7,900  Nuvama Wealth stock has been consolidating above its 100-DMA, which stands at ₹7,035, for almost a month. The short-term bias at the counter is likely to be positive as long as the stock quotes above ₹6,870. On the upside, the stock can potentially rally to ₹8,100; with interim resistance likely around ₹7,500, ₹7,750 and ₹7,900 levels. 

 

  Anand Rathi Wealth

Current Price: ₹3,116  Likely Target: ₹2,550  Downside Risk: 18.2%  Support: ₹3,040; ₹2,850; ₹2,760  Resistance: ₹3,270; ₹3,400  Anand Rathi share has witnessed a phenomenal 96 per cent rally in the preceding six months (May - October). The long-term chart shows that the overall trend is likely to remain upbeat as long as the stock holds above ₹3,040; below which it may enter a phase of consolidation. 

 

  As such, the stock may correct towards ₹2,550 levels, with interim support likely around ₹2,850 and ₹2,760 levels. On the upside, the stock is likely to face some resistance around ₹3,270 and ₹3,400 levels for now.  ALSO READ | Groww IPO: Justified valuation or time to chase better-valued rivals? 

5Paisa Capital

Current Price: ₹304  Likely Target: ₹255  Downside Risk: 16.1%  Support: ₹304; ₹279  Resistance: ₹324; ₹342  5Paisa Capital stock has been trading with a negative bias for a year now, post the breakdown below the 200-DMA in November 2024. The near-term bias at the counter is likely to remain negative as long as the stock trades below ₹324; above which the 50-DMA at ₹342 is likely to act as a stiff resistance. 

 

  On the downside, the stock is seen testing the 61.8 per cent retracement of the first-half of the calendar year at ₹304. Break and sustained trade below the same can drag the stock towards ₹255 levels, with interim support likely around ₹279.