Recent Technical Trend Shift
As of 2 December 2025, Deepak Fertilis. has seen its technical trend transition from a sideways pattern to a mildly bearish stance. This shift indicates that the stock’s momentum has softened, with sellers gaining a slight upper hand over buyers in the short to medium term. Such a change often signals increased volatility and potential downward pressure on prices, warranting close attention from market participants.
Key Technical Indicators Analysis
The Moving Average Convergence Divergence (MACD) indicator, a widely followed momentum oscillator, presents a bearish signal on the weekly chart and a mildly bearish reading on the monthly timeframe. This suggests that the stock’s momentum is weakening over both short and longer periods, although the monthly mild bearishness hints at some underlying resilience.
Relative Strength Index (RSI), another momentum gauge, currently shows no definitive signal on either weekly or monthly charts. This neutrality implies that the stock is neither overbought nor oversold, leaving room for directional movement in either way depending on market catalysts.
Bollinger Bands, which measure volatility and price levels relative to recent averages, show a bearish stance on the weekly chart but a mildly bullish indication on the monthly chart. This divergence suggests that while short-term price action is under pressure, the longer-term trend retains some positive momentum.
Daily moving averages provide a mildly bullish signal, indicating that in the very short term, the stock price is holding above key average levels, which can act as support. However, this is tempered by the weekly and monthly KST (Know Sure Thing) indicator readings, which are bearish and mildly bearish respectively, reinforcing the notion of weakening momentum.
Dow Theory, a classical technical analysis approach, aligns with the mildly bearish theme on both weekly and monthly charts, signalling that the broader market trend for Deepak Fertilis. is not strongly positive at present.
On the volume front, the On-Balance Volume (OBV) indicator is mildly bullish on the weekly scale but shows no clear trend monthly. This suggests that while there is some accumulation by investors in the short term, it is not yet strong enough to confirm a sustained uptrend.
Price Action and Volatility
The stock closed at ₹1,322.25, down from the previous close of ₹1,356.65, reflecting a short-term decline of approximately 2.6%. The intraday range on the latest trading day was between ₹1,318.00 and ₹1,357.00, indicating moderate volatility. The 52-week high stands at ₹1,776.95, while the 52-week low is ₹888.25, showing a wide trading range over the past year.
This price behaviour, combined with the technical indicators, suggests that the stock is currently consolidating within a lower trading band relative to its recent highs, which may act as resistance in the near term.
Comparative Performance Versus Sensex
When analysing returns relative to the benchmark Sensex, Deepak Fertilis. has underperformed in the short term. Over the past week, the stock declined by 3.9%, whereas the Sensex gained 0.7%. Similarly, the one-month return for the stock was down 11.3%, contrasting with a 1.4% rise in the Sensex.
However, on a year-to-date basis, Deepak Fertilis. has delivered a positive return of 10.2%, slightly outperforming the Sensex’s 9.0% gain. Over longer horizons, the stock has demonstrated robust performance, with three-year returns of 65.1% compared to the Sensex’s 35.4%, and an impressive five-year return exceeding 780%, vastly outpacing the benchmark’s 90.8%.
These figures highlight that while the stock faces near-term technical challenges, its long-term growth trajectory remains strong, reflecting solid fundamentals and sectoral tailwinds.
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Technical Outlook Summary
Overall, the technical landscape for Deepak Fertilis. is mixed but leans towards a mildly bearish outlook. The weekly indicators predominantly signal caution, with MACD, Bollinger Bands, KST, and Dow Theory all reflecting bearish or mildly bearish tendencies. The absence of strong RSI signals suggests the stock is not yet oversold, leaving room for further downside or sideways movement.
Conversely, daily moving averages and weekly OBV readings provide some bullish hints, indicating that short-term support levels may hold and that accumulation could be underway. The monthly charts show a more balanced picture, with mild bearishness offset by some bullish signals, implying that the longer-term trend is not decisively negative.
Investor Considerations
For investors, this technical profile suggests prudence. The stock’s recent price decline and bearish momentum indicators caution against aggressive buying at current levels. However, the strong long-term returns and mild bullish signals on certain indicators imply that the stock may offer value if it stabilises and reverses its short-term downtrend.
Traders might consider waiting for confirmation of a trend reversal, such as a weekly MACD crossover to bullish or a breakout above recent resistance levels near ₹1,357. Meanwhile, long-term investors should monitor fundamental developments and sector dynamics alongside technical signals to time entries more effectively.
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Conclusion: Mildly Bearish but Not Without Hope
In conclusion, Deepak Fertilis. currently exhibits a mildly bearish technical stance, with several key indicators signalling caution. The stock’s recent price action and momentum suggest that it is facing short-term headwinds, and investors should be wary of further declines.
Nonetheless, the presence of some bullish signals on daily moving averages and volume indicators, combined with the stock’s strong historical returns, means that the outlook is not entirely negative. A careful watch on technical developments in the coming weeks will be crucial to identify any potential recovery or further deterioration.
Investors are advised to balance technical insights with fundamental analysis and sector trends before making investment decisions in this fertilizer sector stock.
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