Technical Portfolio Guide
LAURUS LABS LTD
CMP: ₹458.70
BSE Code:540222
I am holding Laurus Labs at Rs 550 for the long term. What is the future of the stock?
- Primecare Naturals
KEEP A STOP-LOSS AT RS 440 LEVEL
Post earnings, the stock declined sharply by 15 per cent. It closed at the crucial parallel support. It fell by 38 per cent from its August 2021 highs. The stock formed lower highs while the price pattern formed a descending triangle, which is bearish. It closed below all the key short and long-term averages. It is about 15 per cent below the 200-DMA. All the indicators showed a strong bearish bias. It is much below the anchored VWAP support. The RRG RS and momentum are indicating that the stock is in a lagging quadrant and is underperforming. Its RS line is at the lowest level since August 2021. The above-average volume indicates strong distribution in the stock. In any case, if it declines below the zone of Rs 440, it may slip to further lows. Better keep a stop-loss at the zone of Rs 430-Rs 440. Your price may not be possible in the next two quarters.