Synopsis: Some stocks are showing support near their 200-day EMA, indicating a potential bounce. Is it worth keeping in your radar?
In the stock market, technical indicators assist traders and investors in making informed decisions. One popular tool is the 200-day Exponential Moving Average (200-D EMA). Whether you’re a long-term investor or a short-term swing trader, this moving average can help you identify key price levels on the chart.
What is 200-D EMA, and why is its support important?
The 200-day EMA depicts a stock’s average closing price over the previous 200 trading days, emphasizing more on recent prices. It aids in determining the stock’s overall trend, but it is also used by short-term traders to identify strong support or resistance zones.
When a stock finds support at this level, it usually indicates that buyers are stepping in, which could result in a bounce or trend reversal. Holding above the 200-D EMA is generally considered a sign of strength, whereas falling below it may indicate weakness.
The following stocks are showing signs of taking support near their 200-day Exponential Moving Average (EMA)
1. Reliance Industries Ltd
Reliance Industries Limited is a large Indian company headquartered in Mumbai that operates in a variety of industries, including energy, retail, telecom, and entertainment. It is India’s largest and most profitable private company, and it is included in the Fortune 500 list. It was founded by Dhirubhai Ambani and currently managed by his son, Mukesh Ambani.
Reliance Industries Ltd., with a market capitalization of Rs. 18,81,013.70 crore, closed at Rs. 1,390, marking a decline of 1.52 percent from the previous close of Rs. 1,411.50. The stock is showing signs of support near its 200-day Exponential moving average (200-D EMA) at around Rs. 1,375.60.
2. CESC Ltd
Calcutta Electric Supply Corporation (CESC) is the flagship company of the RP-Sanjiv Goenka Group, headquartered in Kolkata. It is India’s first fully integrated electrical utility company since 1899, generating and distributing electricity.
It is the sole electricity distributor across 567 sq. km of Kolkata, Howrah, and surrounding areas. The company operates through both license-based and franchise-based models to ensure 24/7 power supply and better customer service. Focused on sustainability, it is advancing in renewable energy, energy storage, and green hydrogen.
With the market capitalization of Rs. 21,765.87 crore, the CESC Ltd was closed at Rs. 164.20 on Tuesday, up by 0.24 percent from its previous day close of Rs. 163.80 crore. The stock is taking support of 200-day Exponential moving average (200-D EMA) at a price ~Rs. 163.60.
3. CG Power & Industrial Solutions Ltd
CG Power and Industrial Solutions Limited, based in Mumbai, is a leading electrical engineering company. It offers a diverse range of products, services, and solutions in Power Systems and Industrial Systems, catering to various industrial needs in India and across the world, and with a focus on efficient and sustainable energy management.
CG Power and Industrial Solutions Ltd., with a market capitalization of Rs. 1,06,927 crore, closed at Rs. 679.10 on Tuesday, marking an incline of 2.54 percent from the previous close of Rs. 662.25. The stock is showing signs of support near its 200-D EMA at around Rs. 658.67.
4. PTC India Ltd
PTC India Limited, founded in 1999 as a public-private partnership by the Indian government, is a power trading company. The company is backed by major PSUs such as PGCIL, NTPC, PFC, and NHPC, and it has over 7,500 MW of operational long- and medium-term contracts. About 58 percent of its power comes from renewable sources, with hydro projects accounting for 46 percent. PTC serves over 800 clients in a variety of sectors.
With the market capitalization of Rs. 5,298.55 crore, the PTC India Ltd was closed at Rs. 179 on Tuesday, up by 2.81 percent from its previous day close of Rs. 174.11 crore. The stock is taking support of 200-day Exponential moving average (200-D EMA) at a price ~Rs. 175.49.
5. Mazagon Dock Shipbuilders Ltd
Mumbai-based Mazagon Dock Shipbuilders Limited (MDL) is one of India’s leading shipyards. Since 1960, MDL has delivered 805 vessels, including a variety of civilian ships and offshore structures, as well as 30 cutting-edge warships and 8 submarines.
In addition to working with foreign partners on significant projects like Project Destroyer, Scorpene Submarine, and Frigate Ships, it is the only Indian shipyard to have constructed both destroyers and conventional submarines for the Indian Navy. With the capacity to build ships up to 40,000 DWT, MDL has invested in infrastructure, including a 300-ton Goliath crane.
Mazagon Dock Shipbuilders Ltd., with a market capitalization of Rs. 1,14,858.42 crore, closed at Rs. 2,847.40 on Tuesday, marking a rise of 2.90 percent from the previous close of Rs. 2,767.20. The stock is showing signs of support near its 200-D EMA at around Rs. 2,681.62.
Written by Akshay Sanghavi
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