Whalesbook
Paras Defence & Space Technologies shows a bullish short-term outlook, having surged 13% last week. Key support is at ₹750, with the next zone at ₹720-700. The stock could rise to ₹850-860. Investors are advised to buy at current levels around ₹766, accumulate on dips at ₹752, with a stop-loss initially set at ₹715.
Paras Defence & Space Technologies is exhibiting a strong bullish short-term outlook. The stock recently experienced a significant surge of approximately 13% over the past week, closing on a strong note. Analysts suggest that if this upward momentum continues, the share price is poised for further appreciation in the coming weeks.
Key technical levels to watch include immediate support at ₹750. Below this, a crucial support zone lies between ₹720 and ₹700. On the upside, the stock price is projected to reach targets of ₹850 to ₹860 in the upcoming weeks.
For traders looking to capitalize on this trend, a buying recommendation is issued at the current market price of approximately ₹766. Accumulating on dips at ₹752 is also advised. A strict stop-loss is recommended at ₹715 initially to manage potential downside risk.
A strategy for trailing the stop-loss is provided: it should be moved up to ₹775 as soon as the stock price reaches ₹790. Further revisions to the stop-loss are suggested at ₹795 and ₹820 when the share price touches ₹810 and ₹840, respectively. The exit strategy suggests liquidating long positions at ₹855.
Impact
This news is highly impactful for current shareholders and potential investors in Paras Defence & Space Technologies, providing clear entry points, profit targets, and risk management strategies. For investors holding the stock, it offers guidance on managing their positions. For new investors, it presents a potential trading opportunity with defined risk parameters.
Rating: 8/10
Difficult terms
Bullish: A market sentiment where prices are expected to rise.
Support: A price level where a downtrend can be expected to pause due to a concentration of demand.
Stop-loss: An order placed with a broker to buy or sell a security when it reaches a certain price, intended to limit an investment's potential loss.
Trail the stop-loss: A type of stop-loss order that is adjusted upwards as the price of an asset increases, locking in profits while still allowing for potential further gains.
Accumulate on dips: A strategy of buying more of a stock when its price falls slightly, anticipating a future rise.
