After the share price of the Indian Energy Exchange (IEX) surged to a record high of 956 rupees on Tuesday, the trading price on the BSE fell by more than 6% to 791 rupees per share due to plans to consider issuing bonus shares and the board of directors will be in the meeting Decide. Thursday, October 21, 2021.
“The best performing stocks in the past few days have seen a sharp correction. The fundamentals of IEX are still strong, but there are valuation concerns after the sharp rise, and there is obvious speculation, because traders can easily make money every day, so we see To technical adjustments to eliminate weak players,” said Santosh Meena, research director of Swastika Investmart Ltd.
Meena further stated that the 770, 9-DMA may provide some support, but there is a risk of moving to the 20-DMA currently located at the 687 mark. 700-650 is a good area for long-term accumulation of inventory.
IEX is India’s premier electricity exchange, facilitating electricity trade. IEX has a market share of approximately 95% in the electricity trading market.
Sumeet Bagadia, Executive Director of Choice Broking, announced the important level of IEX stock. He said: “The stock has strong support at the level of 770 rupees per share, but if it breaks the support of 770 rupees, the stock may appear new Weakness. People should avoid making new purchases over the counter and recommend that holders of IEX shares keep a strict stop loss below 770 rupees, because breaking this level will mean a new collapse of the chart.”
IEX plans to issue bonus shares, which will be considered together with quarterly earnings at the board meeting on October 21.
The company issues bonus shares for its shareholders to increase the liquidity of the stock and aims to lower its stock price so that investors can afford it. Bonus shares are fully paid additional shares issued by a company to its existing shareholders.
News Source: Mint
