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
Hindustan Unilever Limited
HUL is India’s largest fast-moving consumer goods (FMCG) company. Established in 1933 and headquartered in Mumbai, HUL offers over 50 brands across 16 categories, including home care, personal care, nutrition, and beauty products. Its popular brands include Surf Excel, Lifebuoy, Dove, Lux, and Horlicks.
With a market capitalization of Rs. 5,55,278.90 crores on Wednesday, the stock closed at Rs. 2363.30 per share, which is below its 200-day moving average of Rs. 2,494.67 in a day’s time frame. The stock is currently down by 5.3 percent from its 200-day moving average.
Infosys Limited
Infosys Limited is a global leader in consulting, technology, and next-generation digital services, headquartered in Bengaluru, India. Founded in 1981, Infosys provides IT solutions, business process outsourcing, and software development to clients worldwide. The company is recognized for its innovation in digital transformation, strong client relationships, and robust delivery model.
With a market capitalization of Rs. 6,51,372.31 crores on Wednesday, the stock closed at Rs. 1568.10 per share, which is below its 200-day moving average of Rs. 1,794.43 in a day’s time frame. The stock is currently down by 12.6 percent from its 200-day moving average.
Asian Paints Ltd
Asian Paints Ltd is India’s largest and Asia’s third-largest paint company, established in 1942 and headquartered in Mumbai. The company manufactures a wide range of paints for decorative and industrial use, along with home decor and waterproofing solutions. With a strong distribution network and a presence in over 60 countries.
With a market capitalization of Rs. 2,21,732.96 crores on Wednesday, the stock closed at Rs. 2311.65 per share, which is below its 200-day moving average of Rs. 2,611.38 in a day’s time frame. The stock is currently down by 11.3 percent from its 200-day moving average.
Hero MotoCorp Limited
Hero MotoCorp Limited is the world’s largest manufacturer of two-wheelers, headquartered in New Delhi, India. Founded in 1984 as Hero Honda, the company became Hero MotoCorp in 2011 after ending its joint venture with Honda. Hero MotoCorp produces motorcycles and scooters, with a strong focus on fuel efficiency and affordability, and has a vast domestic and international market presence.
With a market capitalization of Rs. 85,070.68 crores on Wednesday, the stock closed at Rs. 4253.20 per share, which is below its 200-day moving average of Rs. 4,563.11 in a day’s time frame. The stock is currently down by 6.5 percent from its 200-day moving average.
Zydus Lifesciences Limited
Zydus Lifesciences Limited (formerly Cadila Healthcare) is a leading Indian pharmaceutical company based in Ahmedabad. Established in 1952, Zydus is involved in the research, development, manufacturing, and marketing of a wide range of pharmaceutical products, vaccines, and biosimilars. The company is known for its healthcare innovation and has a significant presence in both domestic and international markets.
With a market capitalization of Rs. 89,600.11 crores on Wednesday, the stock closed at Rs. 890.45 per share, which is below its 200-day moving average of Rs. 989.60 in a day’s time frame. The stock is currently down by 10 percent from its 200-day moving average.
Written by Sridhar J
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