In the previous session, the markets opened on a strong positive note and remained in a positive territory throughout the day. The Nifty index made a day high near 18017 level and closed with a net profit of 190.60 points. Technically, Index formed a bullish candle on the chart but ended the day at crucial resistance point 18000 level. Hence, traders should be focused on ‘buy on dips’ strategy for the next trading day.

Look at the below research report of ‘Stocks to Buy for – Tuesday, January 11, 2022’ the market opens.

Deepak Nitrite Ltd

NSE :DEEPAKNTR   BSE :506401  Sector : Chemicals

In the last trading day, stock formed a strong bullish candle on the daily chart. We can see the ‘Inverted Head and shoulder Pattern’ has formed. This pattern is associated with a reversal of a downward trend in price. The right shoulder has been completed near 2400 levels. Stock is now quoting above the neckline of the pattern. A pullback can be expected near this neckline support. As per pattern theory, 400 points movement on upside can be expected in coming days.  Also, Stock is comfortably closed above the 50 EMA support which confirms the bullish trend.

In short, the trend for DEEPAKNTR looks to be positive now. A throwback can be expected near 2400 levels. Use dips as a buying opportunity for a move towards 2800 levels as long as we do not see any closing below 2180 levels.

Check More Analysis on DEEPAKNTR at: Deepak Nitrite Ltd