HPCL, which climbed 9.38 per cent in the previous session, tanked 4.49 per cent to hit a low of Rs 399. IOC, on the other hand, declined 3.78 per cent to hit a low of Rs 128.25.
JM Financial said the optimism on OMCs namely Bharat Petroleum Corporation Ltd (BPCL), Hindustan Petroleum Corporation Ltd (HPCL) and Indian Oil Corporation Ltd (IOC) will be contingent on crude sustaining below $80 per barrel.
In the case of ONGC, the stock traded at a PE of 4.5 times against a 10-year average of 8 times. At Tuesday's close, the scrip needed a 56 per cent rally to revisit its all-time high of Rs 314.67 hit in June 2014.
Bharat Petroleum Corporation’s daily trend is bullish to sideways. The RSI for monthly is showing sideways momentum, however, the RSI for weekly and daily are showing bullish momentum. Based on option chain analysis, the range is between 370 and 400. Let’s plan a trade around this.
HPCL: The mechanical completion of Vizag refinery is expected to be completed by Jan-Feb 2024. Post expansion, the refinery will have the highest diesel yield in the country.