Shares of Vodafone Idea ended nearly 20% lower on Thursday. This was the biggest single-day drop for the stock since January 2022.

The drop came after the Supreme Court dismissed the curative petitions filed by telecom companies with regards to the AGR dues.

Vodafone Idea’s current AGR dues stand at well over 70,300 crore rupees.

With today’s drop, Vodafone Idea shares have closed below their 200-Day Moving Average, something that the stock had not done since June this year.

The stock has also nearly halved from its recent peak of ₹19.18.

So what should shareholders do now after such a drop?

“The stock has fallen below its 200-WEMA support level of ₹13, which it was holding since November 2023, suggesting that the current downturn may continue in the near future. The drop has been abrupt and has been accompanied with rising volumes, indicating distribution. Thus, in the upcoming weeks, anticipate a further decline towards ₹7, as ₹13 now turns into a formidable long-term barrier,” said Sacchitanand Uttekar of Tradebulls.

Aditya Agarwal of Sanctum Wealth said that Vodafone Idea has broken its key support level of ₹12 with high volumes. For the short-to-medium term, he expects the stock to trade with a negative bias and a close below ₹10.4 can trigger another round of selling, which will eventually drag the stock to ₹9.2 – ₹8.6 levels.

He advises using an upside pullback towards ₹12 – ₹12.4 as an exit opportunity from long positions as the overall structure is distorted.

Anand Rathi’s Jigar Patel said that at this point, Vodafone Idea’s chart appears to be deeply bearish, having decisively broken its 200-Day Exponential Moving Average (DEMA) on the daily chart. The RSI though, has slipped into oversold territory. “Given the stock’s current bearish momentum, we recommend avoiding this counter as it remains under strong downward pressure,” he said.

Shares of Vodafone Idea ended 19% lower at ₹10.44.

Also Read: Vodafone Idea share price crash: 10 things to know