BHEL shares slip 8%, still overbought on charts, here's what analysts say
BHEL shares slip 8%, still overbought on charts, here’s what analysts say
Shares of multibagger Bharat Heavy Electricals Ltd (BHEL) slipped 8% on Monday even as the benchmark indices were trading near record highs. BHEL stock fell 7.88% to Rs 281.05 on BSE. Market cap of the firm slipped to 1.01 lakh crore. However, the multibagger stock is still trading in the overbought zone, signals its relative strength index (RSI), which stands at 81.3. Investors are bullish on the stock as BHEL shares are trading higher than the 5 day, 10 day, 20 day, 50 day, 100 day and 200 day moving averages. However, the BHEL stock is trading 11% lower to the record high of Rs 318.15 touched on May 3 on BSE. BHEL shares fell to a 52-week low of Rs 77.30 on May 29, 2023.
Shiju Koothupalakkal – Technical Research Analyst at Prabhudas Lilladher said, “The stock has overall continued with its strong uptrend with recently taking support near Rs 245 zone. It has picked up well significantly and has breached above the current target of Rs 308 levels to maintain the bias strong and anticipating for next target of Rs 335 level with major support lying near Rs 290 from current rate.”
Ganesh Dongre, Senior Manager , Technical Research at Anand Rathi is bullish on the BHEL stock. “On the daily chart, BHEL has seen a fresh trendline breakout at the Rs 280–290 zone; on the other technical parameter, MACD is turning up on the daily scale, so traders can go long in this stock with a stop loss of Rs 290 for the target price of Rs 345 for the upcoming weeks,” said Dongre.
Total 56.13 lakh shares of the firm changed hands amounting to a turnover of Rs 163.40 crore.
The PSU stock has risen 261% in a year and gained 47.21% in 2024.
Osho Krishan – Senior Research Analyst – Angel One said, “BHEL has been in a stellar bull run, hovering near its 52-week highs. The stock has gained strong traction in the last couple of trading sessions as it surpassed the previous swing high. On the levels front, the zone of Rs 265-260 should provide cushion to any short term blip, while the strong support is placed around Rs 255-250 subzone. On the higher end, the zone of Rs 284-285 is likely to showcase resilience, and a sustainable breakthrough could only trigger the next leg of rally in the counter.”
BHEL is one of the largest engineering and manufacturing companies in India engaged in design, engineering, construction, testing, commissioning and servicing of a wide range of products and services with over 180 product offerings to meet the ever-growing needs of the core sectors of economy.
Watch Live TV in English
Watch Live TV in Hindi