Technical Analysis Dr. Reddy's Laboratories (DRREDDY)

The stock $DRREDDY is daily chart of shows the stock is currently trading at 1278.20. After a strong rally that pushed the price near the 1370–1380 zone the stock is currently going through a short-term downward correction pullback. Immediate Support 1240 - 1250 the stock recently bounced slightly from the 1248 level. This 1240–1,250 zone is acting as the first line of defense. If the price holds here we might see some consolidation or a small bounce. Major Support 1180 - 1200 if the selling pressure continues and breaks the immediate support, the next strong demand zone is down around 1180 to 1200. This area has acted as a strong floor in the past pushing the price back up. Immediate Resistance 1320 if the stock starts recovering it will face its first hurdle around 1320. Major Resistance 1370 - 1380 the recent peak forms a heavy resistance zone. The stock needs strong buying momentum to break past this level for a fresh breakout. For short-term buyers it is best to wait for a clear bounce at the 1240–1250 support or buy near the 1180–1200 zone with a strict stop-loss. Existing holders can safely keep holding their positions as long as the crucial 1180–1200 support is not broken though some up-and-down movement is expected. If the stock crosses the 1320 hurdle, the positive momentum will return. Both buyers and holders should watch these key levels closely for the next move toward the 1380 target.