 "Delta Corp, Nazara: Should you bet on online gaming shares ahead of Diwali?")
We are just a fortnight away from Diwali 2024 - one of the most widely celebrated festivals in India. The near week-long festival, known as a celebration of the victory of light over darkness - is celebrated with various Hindu religion rituals, traditions and decorations. Amid the festivities, family and friends tend to indulge in games and fun activities. With changing lifestyle, online gaming, too, has gained traction.
In India, Delta Corp is one of the biggest listed players in the online gaming industry, including the prominent casinos in Goa and few luxury hotels. Similarly, Nazara Technologies and OnMobile Global operate diversified online gaming, including sports media platforms. Zensar Technologies, on the other hand, provides online development and solutions to such gaming companies among others.
Against this background, here's how these key online gaming shares are placed on the technical charts.
Delta Corp
Current Price: Rs 122
Upside Potential: 14.8%
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Support: Rs 118
Resistance: Rs 128; Rs 133
Delta Corp stock has been trading with a negative bias on the daily chart since the start of the month. The stock, however, has witnessed a minor positive divergence on the weekly scale, with its 20-WMA (Weekly Moving Average) crossing the 50-WMA; thus raising some hopes of a likely pullback.
As such, the recent lows around Rs 118 can act as potential support levels. On the upside, the chart suggests the stock can potentially bounce back to Rs 140 levels; with interim resistance likely around its 200-DMA (Daily Moving Average) at Rs 128 and Rs 133 levels. CLICK HERE FOR THE CHART
Nazara Technologies
Current Price: Rs 909
Downside Risk: 14.6%
Support: Rs 830
Resistance: Rs 917; Rs 970
Nazara Technologies is seen testing the 100-DMA at Rs 910 levels on the daily scale. The stock has been sustaining above this long-term moving average since June 06. That apart, the stock seems to be struggling to stay afloat its 20-WMA, which stands at Rs 917.
The key momentum oscillators on the daily and weekly chart are indicating a negative bias. Hence, the Nazara Technologies stock may face downward pressure in the near-term. On the downside, the stock may test its 200-DMA at Rs 830; below which a dip to Rs 776 seems likely.
In case of a pullback, the stock is likely to face resistance around Rs 917 and Rs 970 levels. CLICK HERE FOR THE CHART
OnMobile Global
Current Price: Rs 85
Upside Potential: 18.8%
Support: Rs 83.50; Rs 79.30; Rs 75.80
Resistance: Rs 90; Rs 92.50
OnMobile Global stock is seen attempting to conquer its 200-DMA for the fourth time in the last three months. In this particular attempt, the stock has spent six trading sessions above the 200-DMA, which stands at Rs 83.50. The key momentum oscillators are marginally favourable; hence the stock may be able to conquer and rally higher this time around.
As such, the stock can potentially rally to Rs 101 - its 200-WMA; with interim resistance seen at Rs 90 and Rs 92.50 levels. In case, the 200-DMA fails to hold, OnMobile Global stock can slip back to 79.30 and Rs 75.80 levels. CLICK HERE FOR THE CHART
Zensar Technologies
Current Price: Rs 700
Downside Risk: 14.3%
Support: Rs 660; Rs 635
Resistance: Rs 719; Rs 749
Zensar Technologies stock seems to be attempting a pullback following its recent breakdown below the super trend line on the daily scale. Technical chart suggests that the stock could face considerable resistance on its way around Rs 719 and Rs 749 levels.
On the downside, the stock seems on course to test support at Rs 600 levels; with interim support likely around Rs 660 and Rs 635 levels. CLICK HERE FOR THE CHART
