Adani Group stocks surged up to 16% as exit polls forecast a win for Prime Minister Narendra Modi. The conglomerate’s total market cap increased by nearly Rs 1.4 lakh crore, reaching Rs 19.24 lakh crore. Adani Power soared 16%, while other group entities also saw significant gains, nearing pre-Hindenburg levels.
Shares of Adani Power Ltd saw a sharp rise in Monday’s trade, reaching record high levels. The stock soared 17.68 percent to an all-time high of Rs 890.40. About 30.41 lakh shares were traded on the BSE, more than three times the two-week average volume of 8.60 lakh shares.
All 10 listed Adani stocks gained attention today as the group recovered its entire market capitalisation (m-cap) erosion following a damning report by US-based short-seller Hindenburg Research. The Indian conglomerate strongly refuted the report and its claims.
Exit Polls Forecast Positive Outlook for Adani Stocks
The cumulative m-cap of Adani stocks stood at around Rs 20.01 lakh crore, much higher than Rs 19.20 lakh crore on January 24 last year, when Hindenburg’s report was made public.
For Adani Power, technical analysts largely remained positive. Support could be seen in the Rs 820-800 zone. Traders can consider booking some profits at current high levels, one analyst suggested.
Osho Krishan, Senior Research Analyst – Technical & Derivatives at Angel One, said, “Adani Power has soared to record highs and seems poised to continue the momentum. However, the possibility of correction or profit booking should not be ruled out. The immediate support is around the Rs 800-odd zone, followed by Rs 720-700 levels from a short to medium-term view.”
Ravi Singh, Senior Vice-President (Retail Research) at Religare Broking, said, “Investors can consider booking some profits at current levels. On the higher side, the stock can see an upside target of Rs 950 in the near term. Keep a strict stop loss at Rs 820.”
Jigar S Patel, Senior Manager – Technical Research at Anand Rathi Shares and Stock Brokers, said, “Support will be at Rs 820 and resistance at Rs 890. A decisive close above Rs 890 level may trigger a further upside till Rs 935. The expected trading range will be between Rs 800 and Rs 950 for a month.”
The counter was trading higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). The stock’s 14-day relative strength index (RSI) came at 84.79. A level below 30 is defined as oversold while a value above 70 is considered overbought.
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