Laurus Labs Share Price: Here's why ₹430 - ₹440 is a crucial zone for the stock
Find out why ₹430 - ₹440 is a crucial level for Laurus Labs, a zone it has entered after a three-day surge.
Shares of Laurus Labs are witnessing some profit booking after a three-day surge, during which the stock had gained 12%. With this three-day surge, the stock has neared a crucial zone of ₹430 - ₹440.
If one takes a look at the charts of the last two years, every time the stock has made a peak starting August 2021, it has made a bottom around the ₹430 - ₹440 zone in four instances.
| Date | Peak | Date | Bottom |
| August 12, 2021 | ₹723.75 | November 12, 2021 | ₹444.9 |
| December 30, 2021 | ₹554.5 | January 28, 2022 | ₹433.2 |
| April 19, 2022 | ₹626.3 | June 20, 2022 | ₹436.8 |
| August 18, 2022 | ₹605.5 | October 28, 2022 | ₹442.95 |
After finding support in that zone, Laurus Labs broke below the ₹433 mark in November 2022.
Since then, the zone has become a resistance for the stock. It has made three earlier attempts this year to cross that level, falling short on each occasion.
| Date | Top |
| August 9, 2023 | ₹418 |
| September 11, 2023 | ₹415.5 |
| October 20, 2023 | ₹411.85 |
The gains over the last three sessions also came on substantial volumes, as nearly 2 crore shares of Laurus Labs were traded over the last three sessions, which is the combined volume of the last 10-12 trading sessions.
"Laurus Labs underwent a major breakdown from the previous double bottom formation around the ₹433 mark, post which it underwent a heavy correction towards ₹277," said Mehul Kothari of Anand Rathi. "On a safe note, we would advise traders to wait for a weekly close above 440 levels. Once that its done, then the stock might be ready for a fresh upside towards 500 in the coming months," he added.
Shares of Laurus Labs are trading 0.5% lower currently at ₹433.5. The stock is up 16% so far in 2023.
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