The benchmark indices extended their bull run, with the recording fresh highs as of afternoon trade on December 27. Nifty touched the 21,600 mark and the Sensex jumped over 700 points, surpassing the 72,000 mark for the first time.
The recent surge in the market could be attributed to healthy domestic macro numbers, sustained fall in the US bond yields and dollar, buying by foreign portfolio investors (FPIs) and cooling inflation in the US which boosted the hopes of rate cuts.
Listed below are stocks that are trading above RSI 70 and may see a correction in the future:
Tata Consumer Products Ltd
With a market capitalisation of Rs. 95,019 crores, the shares of Tata Consumer Products Ltd started Wednesday’s trading session positively at Rs. 1,014.95 compared to its previous day’s close of Rs.1,007. The share hit a high of Rs. 1,026, gaining around 2 percent, also recorded as the company’s fresh 52-week high and currently at Rs. 1,024 apiece.
On a daily timeframe, the Relative Strength Index (RSI) of the company is ‘79.31’ indicating that the stock is trading in the ‘overbought’ zone. And the shares are also trading above the 200 Exponential Moving average (EMA).
Hero MotoCorp Ltd
With a market capitalisation of Rs. 81,140 crores, the shares of Hero MotoCorp Ltd started Wednesday’s trading session on a flatter at Rs. 4,064 compared to its previous day’s close of Rs. 4,067.45. The share hit a high of Rs. 4,096, gaining around 1 percent, also recorded as the company’s fresh 52-week high and currently at Rs. 4,056.90 apiece.
On a daily timeframe, the Relative Strength Index (RSI) of the company is ‘77.52’ indicating that the stock is trading in the ‘overbought’ zone. And the shares are also trading above the 200 Exponential Moving average (EMA).
Wipro Ltd
With a market capitalisation of Rs. 2,46,323 crores, the shares of Wipro Ltd started Wednesday’s trading session on a flatter at Rs. 468.50 compared to its previous day’s close of Rs. 470.10. The share hit a high of Rs. 475.40, gaining around 1 percent, and currently at Rs. 471 apiece. The company’s shares touched 52 weeks on December 26 at Rs. 475.80.
On a daily timeframe, the Relative Strength Index (RSI) of the company is ‘76.84’ indicating that the stock is trading in the ‘overbought’ zone. And the shares are also trading above the 200 Exponential Moving average (EMA).
Hindalco Industries Ltd
With a market capitalisation of Rs.1,35,294 crores, the shares of Hindalco Industries Ltd started Wednesday’s trading session on a higher note at Rs. 582 compared to its previous day’s close of Rs.579.85. The share hit a high of Rs. 604.50, gaining around 2 percent, also recorded as the company’s fresh 52-week high and currently at Rs. 604 apiece.
On a daily timeframe, the Relative Strength Index (RSI) of the company is ‘76.11’ indicating that the stock is trading in the ‘overbought’ zone. And the shares are also trading above the 200 Exponential Moving average (EMA).
UltraTech Cement Ltd
With a market capitalisation of Rs. 3,01,006 crores, the shares of UltraTech Cement Ltd started Wednesday’s trading session on a higher note at Rs. 10,100 compared to its previous day’s close of Rs. 10,018.65. The share hit a high of Rs. 10,448, gaining around 5 percent, also recorded as the company’s fresh 52-week high and currently at Rs. 10,434 apiece.
On a daily timeframe, the Relative Strength Index (RSI) of the company is ‘72.54’ indicating that the stock is trading in the ‘overbought’ zone. And the shares are also trading above the 200 Exponential Moving average (EMA).
Written By Vaibhav Patil
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