Chart Check: Up 50% since Feb lows, Jyothy Labs’s rally not yet over! Here’s why – Blue Barrows

, household products maker, has rallied by about 50 per cent from its February 2022 lows to hit a fresh 52-week high in October but the rally is not over yet based on technical chart patterns.

The stock with a market capitalisation of more than Rs 7,400 crore hit a 52-week high of Rs 208 on 10th October. It rose from Rs 130 recorded on 25th February 2022 to Rs 196 as on 7 October which translates into an upside of more than 50 per cent.

Short-term traders who missed the rally since February can look at entering the stock now or on dips for a possible target of Rs 285 in the 1-2 quarters, suggest experts.

Bulls remain firmly in control of Jyothy Labs and pushed the stock higher by over 8 per cent in a week, and more than 20 per cent in the last three months.

The recent price action also helped the stock to break out from a downward-sloping Trendline resistance placed at Rs 187 last week on the quarterly charts.


The Relative Strength Index (RSI) is at 64.9. RSI below 30 is considered oversold and above 70 is considered overbought, Trendlyne data showed. MACD is above its center and signal Line, this is a bullish indicator.

“This stock has broken out of its falling trend line placed at Rs 188 levels with a strong quarterly close above it. It can be seen on the quarterly charts that the stock post hitting the levels of 216 corrected back to its major support placed at Rs 80 levels in March 2020 quarter,” Sujit Deodhar, Head – Technical Analyst, Wellworth Share & Stock Broking, said.

Post a strong leg from levels to Rs 80 to Rs 188 levels, this stock corrected up to Rs 130 levels which is 50% retracement to its previous up move.

“It can be observed that this stock post breakout from Rs 188 levels has resumed its uptrend with RSI (relative strength index) exhibiting fresh buy signal,” he said.

“Any dip in the zone of Rs 180-160 offers a great buying opportunity for this stock with an upside target placed at Rs 285 levels for the next 1-2 quarters and a stop loss to be placed at Rs 145 levels,” recommends Deodhar.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)