HFT Scan: Vakrangee, Reliance Power, and Indiabulls Real Estate all show activity

By Bricksnwall | 2024-01-04

Retail investors are typically drawn to these companies by the volumes that high-frequency trading firms (HFTs) create. The trade volumes increased several times over the previous month's average, resulting in a 7?18% increase in the stocks.

Reliance Power, Indiabulls Real Estate, and Vakrangee appear to be particularly active markets for high-frequency trading companies, which flip deals to make quick money. With trading volumes multiplying several times over compared to the one-month average, the stocks rose 7?18%.

High-frequency trading firms (HTFs), also known as "algo firms on steroids," execute deals at breakneck rates by utilizing sophisticated algorithms and potent computers. These companies typically deal in very liquid large and midcap equities, but recently they have also been involved in small-cap stocks.

Indiabulls Property

HRTI Pvt Ltd (0.6 percent) and Graviton Research (0.7 percent) are active names with trading stakes. December saw a lot of HFT activity as well.

Volumes and movement of the stock: Up 6.7% to Rs 94.35. 5 crore shares were traded, compared to an average of 3 crore shares during a one-month period.

Technicals: The stock is above its 200- and 50-day moving averages. Any applicable fundamental triggers: No

Reliance Power is a favourite of HFT.

The following are active names and traded stakes: Jainam Broking (1.13 percent), Pace Commodity (1.38 percent), Graviton Research (1.38 percent), and HRTI Pvt Ltd (2.7 percent).

Volumes and stock movement: Up 17.15% to Rs 30.40, 88 crore shares were traded, compared to a one-month average of 22 crore shares.

Technicals: Stock is above 200- and 50-day moving averages.

If there's a fundamental trigger, none

Vakrangee

QE Securities (0.76 percent), HRTI (1.35 percent), and Graviton (0.9 percent) are active names with traded stakes.

Volumes and stock movement: Up 10.23% to Rs 21.55. Volumes traded at 12 crore shares compared to an average of 3 crore shares over a month.

Technicals: Stock is above 200- and 50-day moving averages.

If there's a fundamental trigger, none

Sobha Traded Stake and Active Names: NK Securities (0.65%), Graviton (0.98%)

Volumes and movement of stocks: up 15.7% to Rs 1,295.25. 1 crore shares were traded, compared to an average of 15 lakh shares over a month.

Technicals: Stock is above 200- and 50-day moving averages.

Primary initiator, if applicable: Indeed. A stake was purchased by foreign investor Dendana Investments Mauritius. In Q3 FY24, the company's overall sales value increased by 37% YoY to Rs 1,951.6 million. Sobha is one of Motilal Oswal's top stock recommendations for 2024, with a target price of Rs 1,400.