Jio Financial Services Ltd shares were trading higher on Wednesday. The stock rose 2.66 percent to reach a day high of Rs 355.50. At this pricing, the stock was down 5.07 percent from its record high of Rs 374.50, set earlier this month on March 12.
On the technical setup, support on the counter was seen at Rs 337. And a convincing closing over Rs 370 is required for further gains.
"There is a lot of potential in this stock. It appears to be a multibagger, and we have coverage on it," Gaurang Shah, Senior Vice President at Geojit Financial, told Business Today TV.
"Jio Financial appears somewhat bullish on the daily charts, with firm support near Rs 337. A daily close above resistance of Rs 370 could lead to an upside objective of Rs 410 in the near term, according to AR Ramachandran of Tips2trade.
"The stock could reach Rs 380 in the short term. "Keep the stop loss at Rs 345," advised Ravi Singh, Senior Vice President (Retail Research) at Religare Broking.
"Support will be at Rs 337, with resistance at Rs 365. A decisive close over Rs 365 may spark a further rally above Rs 380. Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi Shares and Stock Brokers, expects the trading range to be between Rs 330 and Rs 390 for the month.
The company recently announced that it had subscribed for 4 crore equity shares in its wholly-owned subsidiary Jio Leasing Services Ltd for cash at par, totaling Rs 40 crore for commercial objectives. On the BSE, around 16.05 lakh shares were last spotted trading today. The amount was below the two-week average volume of 40.81 lakh shares. Turnover on the counter was Rs 56.58 crore, with a market capitalisation (m-cap) of Rs 2,24,747.43 crore.
