Hindenburg vs Sebi chief: How to trade Adani stocks now? Levels to track

As the Hindenburg saga resurfaces, here's a technical check on Gautam Adani-led Group stocks for the likely trend ahead.

Hindenburg v/s Adani Group: After almost 17 months, after the US-based short seller Hindenburg Research had accused the Adani group of 'fraud' and 'brazen' stock price manipulation; the former has now alleged Sebi chairperson of favouritism towards the Group amid conflict of interest.

In a new report on Saturday August 10, Hindenburg questioned the delay in the Adani probe and Sebi’s objectivity in the matter, alleging Sebi chairperson Madhabi Puri Buch and her husband, Dhaval, were conflicted parties because they had invested in a fund that was allegedly used to inflate stock prices of the Adani group.

While, Sebi and Puri have both strongly rebutted these allegations made by New York-headquartered Hindenburg Research, the latter says the Buch's response to its report includes several important admissions and raises numerous new critical questions. READ MORE

 

Last year, stocks of Adani group had witnessed a massive turmoil with a fall up to 75 per cent in the aftermath of Hindenburg Research accusations. The stocks, however, have recovered swiftly with select shares such Adani Power and Adani Ports growing up to 5-fold from the February 2023 lows, and now quoting near record high levels.

Will these fresh US short-seller allegations trigger another round of volatility for Adani stocks? Or, will the Group shares withstand it?

Here's how key Adani Group stocks are placed on the technical charts; these levels can help you navigate the forthcoming market moves.

Adani Enterprises

Current Price: Rs 3,100

Support: Rs 3,125; Rs 2,970

Resistance: Rs 3,240; Rs 3,300

Adani Enterprises has been trading in a range of Rs 2,950 - Rs 3,300 for the last two months. The stock at present is seen testing resistance around the higher-end of the Bollinger Bands on the daily scale at Rs 3,240. 

Key momentum oscillators like the Slow Stochastic and MACD (Moving Average Convergence-Divergence) are in favour of the bulls; hence the stock may attempt an upside breakout. Sustained trade above Rs 3,240 shall augur well for the stock, and it could potentially lead to Rs 3,450 levels. Support on the downside is visible at Rs 3,125 and Rs 2,970 levels. CLICK HERE FOR THE CHART

Adani Ports

Current Price: Rs 1,495

Support: Rs 1,465; Rs 1,418

Resistance: Rs 1,621

Adani Ports is seen trending higher on the daily scale since December 2023. Barring the election result week related volatility; Adani Ports stock has been making higher highs and higher lows on the weekly scale for more than a year now.

Technically, Adani Ports is now seen trading close to its June 2024 high at Rs 1,621; which may act as an intermediate resistance; given the mixed signals from momentum oscillators. Above Rs 1,621, the stock can potentially spurt to Rs 1,650 and Rs 1,670 levels. 

On the downside, the 20-WMA (Weekly Moving Average) at Rs 1,418 holds the key; with near support seen at Rs 1,465. CLICK HERE FOR THE CHART

Adani Power

Current Price: Rs 660

Support: Rs 673; Rs 663

Resistance: Rs 747; Rs 755

Adani Power stock is seen making higher-highs and higher lows on the weekly scale post the breakout in August 2023. The stock at present is seen testing support around its 20-WMA - a level it has managed to successfully uphold in times of a dip since the last one year.

The 20-WMA currently stands at Rs 673; below an immediate support for the stock is visible at Rs 663 - in the form of 100-DMA (Daily Moving Average).

As long as these support levels are held, Adani Power may attempt to trend higher. On the upside, resistance for the stock is seen at Rs 747 and Rs 755 levels; with a potential upside up to Rs 800 mark. CLICK HERE FOR THE CHART

Adani Energy Solutions

Current Price: Rs 1,070

Support: Rs 895

Resistance: Rs 1,360; Rs 1,485

Adani Energy Solutions stock has been a stark underperformer in the last 11 months, as the stock plunged from levels of Rs 4,235 to Rs 750 levels during this period. The price-to-moving averages action continues to remain negative for the stock as it trades below the 200-WMA for the last seven months now.

Having said that, there seems to be some early signs of possible revival at the counter, as select key momentum oscillators have turned favourable on the weekly and monthly scale. 

However, for the stock to gain strength, it will need to overcome the 100- and 200-WMA hurdles at Rs 1,360 and Rs 1,485. Support for the stock is seen at Rs 895 levels. CLICK HERE FOR THE CHART

Adani Wilmar

Current Price: Rs 367

Support: Rs 367; Rs 350

Resistance: Rs 425; Rs 450

Adani Wilmar has given a breakout on the weekly chart; the stock seems to be headed towards Rs 480 levels; with interim resistance expected around Rs 425 - which is where the 100-WMA stands followed by Rs 450.

The near-term bias for the stock is likely to remain upbeat as long as Adani Wilmar trades above Rs 367 levels; below support for the stock can be expected around Rs 350. CLICK HERE FOR THE CHART