DRREDDY

11th Nov

Remarkable journey of pharma stocks and DRREDDY at the forefront tempts one to look at possible destination of the stock. This is an effort in that direction.

It is in extension of Wave 5 and the extension proved many ellioticians guessing and intrigued when there was no correction post normal Wave 5 completion. Here is the extension count and possibly we should be seeing this stock near 3975 in the next leg up. If we are lucky we could even see 4400, but for that internal wave formations will have to confirm.

Daily Chart

20th May

Finally the correction seems over for now.

But it made an interesting and unusual wave count very difficult to decipher. The wave count is shown in the chart.

Not expecting a sharp bounce but let us see 2500 now.

Daily

14th May

So finally the move down came on the results day. (Never occurred to me the results were round the corner.)

Next targets in the chart.

Daily

12th May

It started the move down but failed to keep it down for long and a very good intraday recovery was seen. Also it failed to clear 2694 which is the 61.8% level of the last wave up.

I am not fully convinced about this down move and TSL is strongly advised.

5th May

The first leg or wave terminated earlier than expected at 2683.

Now wave B is in progress and should end just under 2750/2772.

It can be shorted with minimum SL around these levels.

Micro count

Possibly second leg of retracement has just begun when it retraced exactly from 61.8% at 2780.

Now it should move to 

2660

and possibly

2633

But the main shorting opportunity would be on a bounce from one of these levels. And the move down should be much quicker, sharper and deeper.

We monitor the moves till then and confirm the count.

Hourly