Meesho Limited: Sharp Correction, But Is the Uptrend Over?

Meesho Limited fell 6.78% in a single session, closing around ₹217. The fall came after a strong upmove, so the key question is whether this is simply profit booking or a meaningful trend reversal. There is a clear trigger behind the fall. Nomura initiated coverage on Meesho with a “Reduce” rating and a ₹167 target, citing valuation concerns and increasing competition in value commerce and quick commerce. From the chart perspective, however, the structure has not completely turned bearish yet. The stock remains comfortably above its 50 EMA and 100 SMA, keeping the broader trend positive. RSI has cooled to around 52.66, indicating that momentum has weakened but the stock is not yet in an oversold zone. MACD also remains above the signal line, although the histogram is losing strength, which suggests that bullish momentum is fading. After the recent rally towards the ₹240–245 zone, some profit booking was already possible. The fresh brokerage commentary appears to have accelerated that correction. What next? For me, ₹205–206 becomes an important area to watch. Holding this zone could keep the larger uptrend structure intact. A recovery above ₹220–221 would be an early sign that buyers are returning, while sustained weakness below the ₹205 zone could indicate a deeper correction. So, rather than treating the 6.78% fall alone as a trend reversal, I would watch price action around support + RSI + MACD momentum over the next few sessions. Disclosure: I or my family do not have any position in Meesho Limited. This article is for educational purposes only and is not investment advice.