Deepak Nitrite - Long-term supportPrice action: Trading ~45% below all-time high → indicates long-term weakness, but also potential value zone if support holds.
Support levels:
Same zone was tested in July 2022, Feb 2023, and again in Feb 2025.
Multiple tests of the same support increase its significance—but repeated retests without strong bounces can weaken it.
RSI (Monthly): Around 40 → in the “watch zone.” This shows potential for reversal if buyers step in.
200 MA: Trading below the 200-day moving average → structurally bearish trend in the medium-to-long term.
🔎 Interpretation
Bullish case:
If this support holds again, a bounce could lead to a relief rally (short to medium term).
RSI at 40 suggests downside is limited compared to when RSI was much higher.
Bearish case:
Multiple retests of the same support often precede a breakdown.
Trading below 200 MA means the broader trend is still down.
If it decisively breaks this support zone, the next leg lower could be sharp.
⚖️ Strategy Thoughts (not financial advice)
Aggressive traders: Can consider accumulating near support with strict stop-loss just below it.
Conservative traders: Wait for confirmation → either a strong bounce with volume from support, or a reclaim of the 200 MA.
Investors: Might prefer to see consolidation and stability before entering, since RSI is not yet oversold.
✅ Key levels to watch:
Support zone: The level tested in Jul ‘22 / Feb ‘23 / Feb ‘25 (critical to hold).
Resistance: 200 MA (any move above with volume = trend reversal signal).
