EquityPandit’s Outlook for Dr. Reddy for the week (November 30, 2015 – December 04, 2015):
Dr Reddy closed the week on negative note losing around 7.50%.
As we have mentioned last week that during the week the stock broke the channel support and close below the support zone. Support for the stock lies in the range of 3250 where long term trend-line support and 100 Weekly SMA are positioned. If the stock closes below the levels of 3250 then the stock can drift to the levels of 3130 where 500 Daily SMA is positioned. During the week the stock broke all the support zone and drifted to the low of 3047 and close the week around the levels of 3099.
The stock is in freefall and there is no support visible in the short to medium term. The stock is in strong down-trend and very rise will be sold off.
Resistance for the stock lies in the zone of 3200 where 500 Daily and 100 Weekly SMA are positioned. If the stock manages to close above this levels then the stock can move to the levels of 3350 from where the stock has opened gap down on 26/11/2015.
Broad range for the stock is seen from 3000 – 3030 on downside to 3200 – 3230 on upside.