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Covid-19 vaccination: How TCI and other logistic stocks look on charts

For VRL Logistics, the overall trend is indicating a rally towards Rs 200 levels.
Most logistics companies such as VRL Logistics, Transport Corporation of India (TCI) were trading in the negative territory in the morning deals on Wednesday as compared to a 0.6 per cent decline in the benchmark S&P BSE Sensex. Shares of logistics companies are expected to remain in focus ahead as India needs ample cold chain and distribution infrastructure for its Covid-19 vaccination programme. 

India is likely to start vaccination drive around January 2021 and is now preparing the road map for what will be perhaps the world's largest vaccination drive next year. Data shows that India has ample manufacturing capacity (about 2.5 bn doses) that would be sufficient to meet both domestic and export demand, however, analysts point out that cold chain infrastructure is a key bottleneck. READ MORE

Take a look at how these charts fare on technical parameters and what should be your trading strategy in the current market. 

Aegis Logistics Limited (AEGISCHEM): The recent correction has seen a strong support of the 100-day moving average (DMA) lately. This reversal has defensively crossed 50-DMA at Rs 220 levels suggesting further upside towards Rs 245 and Rs 260 levels. The Moving Average Convergence Divergence (MACD) has crossed the zero line with a positive crossover indicating the direction and momentum to remain in an upward trend. The closing basis support stays at Rs 220 levels. CLICK HERE FOR THE CHART

 

Mahindra Logistics Limited (MAHLOG): The counter has crossed the 100-weekly moving average (WMA) with sluggish volumes. A breakout above Rs 400 indicates further upside towards Rs 420 and Rs 435 levels. The trend stays upward till the counter defends Rs 380 on the closing basis. The Relative Strength Index (RSI) has broken out from a mild consolidation of 50 to 55 values; this exhibits a strong strength in an upward direction. CLICK HERE FOR THE CHART

 

Transport Corporation of India Limited (TCI): The consolidation breakout from the range of Rs 210 to Rs 245 has clearly indicated a positive outlook for the coming sessions. A strong close and breakout above Rs 250 exhibits a positive sentiment that is likely to witness buying momentum on possible corrective moves. Till the counter does breach Rs 245 firmly, the upside bias is likely to see a firm reversal towards Rs 260 and Rs 280 levels. CLICK HERE FOR THE CHART

 

VRL Logistics Limited (VRLLOG): After conquering the 200-DMA at Rs 172, the counter is witnessing mild correction. This move is not highlighting any strong negative trend as the volume structure is sluggish. The volumes during the breakout have been strongest to see a price reversal from near the support of Rs 170 and 167 levels. The overall trend is indicating a rally towards Rs 200 levels. CLICK HERE FOR THE CHART

 

Blue Dart Express Limited (BLUEDART): The counter has doubled in the last four months from the lows of Rs 1,900 levels. This move may see some profit-booking above Rs 4,000 levels as RSI dipped below the overbought condition. However, till the price trades above the significant neckline of Rs 3,300 levels, the medium-term trend to move in the direction of Rs 4,800 levels. CLICK HERE FOR THE CHART



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