A number of stocks have gained ground with bare minimum volumes and even hit the upper circuit filter even as the upside remains capped per the weekly and monthly charts. All this indicates selling pressure at higher levels. The small-cap segment had seen a lack of buying interest when indices were trading at lifetime highs before the coronavirus (Covid-19) pandemic broke out and sent the markets
into a tailspin. Until there is a major shift in the mood of traders and investors, stocks in this segment may continue to show deterioration in value.
The overall trend for small-caps holds the “sell on rise” bias and continues to witness selling pressure on every possible upside. Going forward, if the segment shows reversal with strong volumes that lasts over 10 trading sessions, a recovery may happen which needs to be observed. Till that happens, one can expect the selling pressure to mount at crucial resistance like trend line, moving averages, gap down range.
Here are 10 small-cap stocks under Rs 10 that are showing weakness on the charts and can slip at least 10 per cent from here on. Plave your trading bets carefully.
10 stocks, souce: spidersoftwareindia