The stock of Deepak Fertilisers & Petrochemicals has been in a downtrend since October 2022. Even in 2024, the price has been on a fall till mid-March. However, since the third week of March, there has been a recovery. While it is too early to call this upswing a major bullish trend reversal, the short-term outlook appears positive for the stock.
The support at ₹540 is crucial because the validity of the current rally depends on this support staying valid. We expect the stock to touch ₹620 in the forthcoming sessions. So, traders can buy this stock now at around ₹558 and accumulate if the price moderates to ₹548. Place stop-loss at ₹530. When the stock surpasses ₹590, tighten the stop-loss to ₹565. Book profits at ₹620.
(Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)