Delhivery Limited (DELHIVERY) Stock - Complete Technical Analysis - Dec 16, 2024

Delhivery Stock Analysis: Bullish Momentum or Short-Term Pullback Technical Breakdown

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 (DELHIVERY) has recently demonstrated considerable volatility, trading at 390.60, showing significant movement from its 52-week low of 325.50. Over the past few days, we've observed sharp price fluctuations, with December 13, 2024, witnessing a high of 392.90 after opening at 380. This was preceded by a bullish engulfing pattern, suggesting the possibility of continued upward momentum. However, the stock is approaching resistance at the 200-day Exponential Moving Average (EMA) of 396.56, which could prove challenging to break.

At the same time, with the stocks RSI nearing 70 and the Stochastic RSI at an overbought level of 99.16, theres a chance that the price could experience a short-term pullback. The ADX at 26.6 suggests the uptrend still has some momentum but isn't overwhelmingly strong, and traders should be cautious of potential reversals. Support lies in the 350360 zone, where both the 50-day Simple Moving Average (SMA) and key Fibonacci levels provide a solid floor. If the stock breaks below this zone, it could revisit the 325.50 level.

Given the momentum indicator at 54.65, which remains strong, there could still be a short-term target of around 396400 before encountering major resistance. This stock is displaying some bullish potential but watch for price fluctuations and potential pullbacks, particularly in the face of an overbought condition.