As the holy month of Shravan ends, Investors were bullish over the power(energy) sector. All power stocks listed in NSE and BSE were bullish and gave good returns to investors.
This rally was due to speculations that power consumption increases in the next few months as India will celebrate festivals like Ganesh Chaturthi, Dasara, and Diwali. All these are long festivals wherein Hindus Celebrate it with Lights and decoration.
Here are the details of each power stock.
- Nifty Energy:
Nifty Energy Index started its uptrend since 4 August and has gained 4% since.
Pic: Nifty Energy in the daily chart.
The Index seemed to take Resistance at 16173 levels, which will act as a pivot level further. A support is placed near15890 levels and a Resistance at 16450 levels. As this Index is non-tradable, it is just used as an indicator for other stocks.
PowerGrid Corporation of India, The State-owned company responsible for transmitting 50% of electricity generated India was the pick of the investors for sure.
Pic: Powergrid Corp on the daily chart
Rising nearly 17 % since 17 August Powergrid gave good returns to its investors. Powergrid is the most significant power sector stock and will be in the watchlist of traders for the next few months. Crucial support at 177l levels and Resistance at 200 levels will give enough margin for swing trading. We expect this stock to cross 200 degrees by Diwali, which means 10% returns in the near short term.
National Thermal Power Corporation, the world’s second-largest energy producer and India’s Largest Energy Producer were not left behind. NTPC surged a whopping 22% in the past few days
Pic: NTPC in daily charts
NTPC will hold the 100 marks as support is well placed but will struggle to cross the 110 marks. Traders can use this 10% channel to gain quick profits.
Some other remarkable Power stocks to watch for PFC.