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 one of India’s largest consumer goods companies, offering products in categories such as home care, beauty and personal care, food and beverages, and health and wellness. It owns brands like Dove, Lipton, and Surf Excel, and is known for its market leadership and sustainability initiatives.
With a market capitalization of Rs. 5,63,690.44 crores on Tuesday, the stock closed at Rs. 2,398.70 per share, which is below its 200-day moving average of Rs. 2,523.55 in a day’s time frame. The stock is currently down by 5 percent from its 200-day moving average.
ITC Limited
ITC is a diversified conglomerate with business interests in FMCG, hotels, paperboards, packaging, and agribusiness. Its FMCG portfolio includes brands like Aashirvaad, Sunfeast, and Bingo. ITC is also known for its strong presence in the hospitality sector and commitment to sustainability.
With a market capitalization of Rs. 5,42,737.37 crores on Tuesday, the stock closed at Rs. 445.30 per share, which is below its 200-day moving average of Rs. 433.60 in a day’s time frame. The stock is currently down by 2.65 percent from its 200-day moving average.
Mahindra & Mahindra
Mahindra & Mahindra is a global leader in the manufacturing of automobiles, including SUVs, commercial vehicles, and electric vehicles. The company also has a strong presence in the agricultural, aerospace, and technology sectors. It is recognized for innovation and sustainable practices.
With a market capitalization of Rs. 3,50,320.72 crores on Tuesday, the stock closed at Rs. 2,817.10 per share, which is below its 200-day moving average of Rs. 2,874.96 in a day’s time frame. The stock is currently down by 2.10 percent from its 200-day moving average.
Tata Motors Limited
Tata Motors, part of the Tata Group, is one of India’s leading automobile manufacturers, producing a wide range of vehicles including cars, trucks, buses, and electric vehicles. It is known for its global presence, with operations in over 125 countries, and commitment to green technologies.
With a market capitalization of Rs. 2,32,274.70 crores on Tuesday, the stock closed at Rs. 630.85 per share, which is below its 200-day moving average of Rs. 842.58 in a day’s time frame. The stock is currently down by 2.10 percent from its 200-day moving average.
HCL Technologies
HCL Technologies is a global IT services and consulting company offering solutions in areas like digital transformation, cloud computing, cybersecurity, and engineering services. It serves a wide range of industries, including healthcare, financial services, and manufacturing, with a strong focus on innovation and technology-driven growth.
With a market capitalization of Rs. 4,01,649.57 crores on Tuesday, the stock closed at Rs. 1,479.90 per share, which is below its 200-day moving average of Rs. 1,727.35 in a day’s time frame. The stock is currently down by 2.10 percent from its 200-day moving average.
Written by Sridhar J
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