Deepak Fertilizers and Petrochemicals Corporation Limited (DEEPAKFERT) Stock - Complete Technical Analysis - Oct 11, 2024

Deepak Fertilizers: Key Support & Resistance Levels Technical Analysis for Traders

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.

The current price of Deepak Fertilizers and Petrochemicals Corporation Limited is 1,058, which indicates a significant price movement compared to its recent trading history. The stock recently reached a 52-week high of 1,163.85 on October 3, 2024, representing a remarkable 135.16% increase from its 52-week low of 450.0 recorded in March. Currently, the stock is trading approximately 9.08% below that high.

The recent candle formation is a Spinning Top, suggesting indecision among traders, with an open of 1,065, a high of 1,078, and a low of 1,048. This pattern, along with the presence of an inside candle pattern noted over the last two days, indicates a potential consolidation phase, signaling that traders may be waiting for further directional clarity.

From a technical perspective, the MACD shows positive momentum, although the Momentum indicator is negative, suggesting some selling pressure. The RSI is hovering around the midline, indicating neither overbought nor oversold conditions. The ADX, currently at 27.8, reflects a strong trend, though not overly strong, indicating that traders should look for potential continuation or reversal signals.

Key support levels are identified at around 1,048 and 1,033, which coincide with recent lows, while resistance levels can be found near the previous high of 1,117.35. Additionally, the moving averages are stacked in a bullish configuration, with the Exponential Moving Average (EMA) indicating a bullish trend as the price remains above several key EMAs.

Overall, traders should closely monitor the price action around the support and resistance levels, as a breakout above 1,078 could lead to a continuation of the upward trend, while a drop below 1,048 could signal a reversal. The volatility indicated by the Average True Range suggests that traders should remain cautious and be prepared for swift price movements in either direction. With the indicators presenting a mixed signal, maintaining a flexible strategy will be crucial for navigating the upcoming trading sessions.