Delhivery Limited (DELHIVERY) Stock - Complete Technical Analysis - Oct 08, 2024

Delhivery Limited Technical Analysis: Bullish Signals Amidst Market Volatility

Disclaimer: This analysis is for informational purposes only and should not be considered financial advice. Investing in stocks involves risks, and it's essential to conduct thorough research or consult with a financial advisor before making investment decisions.

Delhivery Limited is currently trading at 416.90, which is 14.57% below its 52-week high of 488, achieved on February 5, 2024, and 17.70% above its 52-week low of 354.20 from December 15, 2023. The stock has shown recent volatility, indicated by an Average True Range (ATR) of approximately 46.15. Over the last few trading days, we've witnessed some significant price movements, including a surge to a high of 419.45 today from an opening of 400, reflecting strong bullish sentiment.

The technical indicators present a mixed outlook. The Relative Strength Index (RSI) is hovering around 47.89, suggesting the stock is neither overbought nor oversold, presenting a balanced opportunity for traders. The MACD is currently negative, which may indicate a bearish trend, while the Stochastic %K is quite low at 22.11, hinting at potential upward momentum in the near term.

From a price action perspective, we can identify a Bullish Engulfing pattern, indicating a possible trend reversal after the recent decline. Additionally, the Morning Star formation reinforces this bullish sentiment, suggesting a potential upward price movement if the stock can maintain momentum. The support level can be identified around 399.78, with resistance observed at 420, driven by both Classic and Fibonacci pivot points. Traders should monitor for further upward movement beyond these levels, as a sustained break could signal a more significant bullish trend. Conversely, a decline below the support level may invite further selling pressure.

In conclusion, while the recent price action and technical indicators suggest a potential for bullish momentum, traders should remain cautious and monitor key support and resistance levels closely. Maintaining a vigilant watch on market developments will be crucial for making informed trading decisions.