VODAFONE IDEA share price today: Downside EXPLAINED for investors

VODAFONE IDEA share price today: Vodafone Idea stock was in the red on Wednesday around 1:30 pm. It had dropped by almost 2.4 per cent on the NSE. What can the investors expect now?  Technical Analyst Nilesh Jain, who is Assistant Vice President (AVP), Equity Research Technical and Derivatives at Centrum Broking gives the outlook in this stock and recommends a strategy they can implement. 

Jain said that the Vodafone Idea (Vi) stock is seeing a continuous fall. He said that it is one of the counters where a lot of investors are now stuck. This is because a lot of investors still have conviction that this counter will see a bounce back. This is because of the sentiments that there would be some investor who will be willing to buy stake or invest money in it. 

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A media report suggests that Vodafone Idea has approached a clutch of investors including KKR and Carlyle group to raise USD 2-2.5 billion. 

He said that the movement in this stock will depend on whether the investors want to take fresh positions.  

He said that it will be seen if the investor companies want to still put money in this stock when the subscribers are falling. Huge debt has already piled up, he further said. 

There could be moves on both sides, he said and added that no big move can be expected in the near term in Vi stock price. 

This stock was trading at Rs 9.90 around 1:30 pm. He said that the current chart shows that there is a downside open in this stock till Rs 9. There could be a pullback also once the stock reaches this level.  

There is still no visible trend in the Vi stock and its performance may continue to be lacklustre.  

The big range for Vi share price is between Rs 14 on the higher side while at Rs 7 on the lower side, he said. This stock has been trading in this range for 7-8 months now, he further said. This range will be breached if something significant happens in the company.   

The 52-week high of Vi share price is Rs 13.80 which Vodafone Idea stock achieved on 15 January 2021 while 52-week low of this stock is Rs 2.70 which was hit on 18 March 2020.