The 200-day moving average (200 DMA) is a widely used technical indicator in financial markets. It is calculated by taking the average closing prices of a security over the past 200 days. One of the primary reasons the 200-day moving average is popular is its ability to act as a support or resistance level.
When a stock’s price is below the 200 DMA, it is often considered to be in a bearish phase. However, it could also present a buying opportunity if the stock shows signs of reversal or if it is oversold.
The stocks to watch out for are listed below
Tata Steel Limited
Tata Steel, established in 1907, is one of the oldest and largest steel manufacturing companies in India. It operates across more than 50 countries and has manufacturing units in India, the UK, and the Netherlands. The company produces a wide range of steel products for industries including automotive, construction, and infrastructure.
With a market capitalization of Rs. 1,76,391.04 crores on Friday, the stock closed at Rs. 141.30 per share, which is below its 200-day moving average of Rs. 146.83 in a day’s time frame. The stock is currently down by 3.9 percent from its 200-day moving average.
Eternal Limited
Eternal Ltd (formerly Zomato Ltd) is a leading Indian multinational company, primarily known for its food delivery platform, Zomato. It has recently rebranded to “Eternal” to reflect its expansion into other sectors like quick-commerce (Blinkit), B2B kitchen supplies (Hyperpure), and live events (District). The company continues to innovate and diversify its services beyond food delivery.
With a market capitalization of Rs. 2,26,059.46 crores on Friday, the stock closed at Rs. 234.25 per share, which is below its 200-day moving average of Rs. 248.44 in a day’s time frame. The stock is currently down by 5.6 percent from its 200-day moving average.
Adani Enterprises Ltd
Adani Enterprises is the flagship company of the Adani Group, a major Indian conglomerate. It serves as an incubator for new businesses, with a presence in sectors like renewable energy, airports, mining, data centers, and green hydrogen. The company is playing a central role in infrastructure development in India. It has rapidly expanded in line with India’s economic growth and sustainability goals.
With a market capitalization of Rs. 2,64,670.95 crores on Friday, the stock closed at Rs. 2293.1 per share, which is below its 200-day moving average of Rs. 2651.45 in a day’s time frame. The stock is currently down by 13.7 percent from its 200-day moving average.
Hindalco Industries Limited
Hindalco Industries Limited, a flagship company of the Aditya Birla Group, is one of the largest integrated aluminum producers globally. It is also a leading copper manufacturer in India. Through its subsidiary Novelis, it operates globally in the aluminum value chain. The company serves a wide range of industries, including automotive, packaging, and construction.
With a market capitalization of Rs. 1,42,035.95 crores on Friday, the stock closed at Rs. 632.05 per share, which is below its 200-day moving average of Rs. 654.59 in a day’s time frame. The stock is currently down by 3.5 percent from its 200-day moving average.
ITC Limited
ITC Limited is a diversified Indian conglomerate with a strong presence in FMCG, hotels, paperboards, packaging, agribusiness, and IT. Founded in 1910, it is headquartered in Kolkata and is known for leading brands like Aashirvaad, Sunfeast, Bingo!, and Classmate. ITC is also a major player in the Indian tobacco industry.
With a market capitalization of Rs. 5,38,294.86 crores on Friday, the stock closed at Rs. 430.15 per share, which is below its 200-day moving average of Rs. 445.84 in a day’s time frame. The stock is currently down by 3.55 percent from its 200-day moving average.
Written by Sridhar J
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