Dabur India Ltd (NSE: DABUR) ForecastBased on the weekly chart for Dabur India Ltd (NSE: DABUR), here is the summary:
Key Levels:
- Resistance Level: Around 630-640
- Support Levels: Around 500 and 420
Current Price:
- Current Price: 555.45
Chart Analysis:
1. Failed Breakout: The chart indicates a recent breakout attempt above the resistance trendline, which has failed. The stock is now trading below this level.
2. Symmetrical Triangle: The stock appears to be forming a symmetrical triangle, indicating a period of consolidation before a potential breakout or breakdown.
3. Potential Sell Signal: Given the failed breakout and the current position below the resistance, there is a possibility of a downward move, especially if the stock breaks the support level around 502.
Targets:
- Buy Target:
- Target Price (TP) for Buy: 635
- Sell Targets:
- Short-Term Target: If the stock breaks below 502, it may head towards the support around 418.
- Long-Term Target (TP): 415
Strategy:
- Wait for Weekly Close: It is essential to wait for a weekly close to confirm the direction. A close above the resistance trendline would indicate a potential upward move, whereas a close below the support level around 502 would indicate a potential downward move.
- Buy Position: Consider buying if the stock closes above the resistance trendline with strong volume and momentum, aiming for a target of 635.
- Sell Position: Consider selling if the stock breaks below the support level around 502, with a target of 415.
Conclusion:
- The stock is currently in a critical zone with a failed breakout above the resistance trendline. Monitoring the price action around the key support and resistance levels is crucial. A clear breakout above the resistance would indicate a potential upward move towards 635, while a breakdown below the support could lead to a decline towards 415. Patience and confirmation are key before making trading decisions.
