The price action comes from steady accumulation and momentum. Nykaa’s ongoing rally has not only taken Nykaa stock to new 52-week highs, but has also restored its bullish structure, which is characterized by consistently higher highs and higher lows. The stock continues to hover above key technical support zones, indicating strength across time frames.
Here’s what analysts suggest:
From a technical perspective, analysts see a phase of healthy consolidation at the top end of the recent range, which could precede a new rally if key resistances are broken.
Highlighting the stock’s strong momentum, Hitesh Tailor, research analyst at Choice Broking, said: “Nykaa continues to show steady upward momentum and is currently trading around 271, well above all major short- and long-term moving averages… Recent candles also reflect stable consolidation near the upper band of the recent range, indicating accumulation rather than depletion.”
Tailor posted immediate support at Rs 263-260, near the 20-EMA and short-term demand zone. “A break below this zone could lead to mild profit booking, but the overall trend remains positive as long as stocks remain above the 50-EMA,” he wrote.
On the upside, he marked the resistance at Rs 284-295, noting, “A decisive breakout above this zone could open the way for another rally towards higher targets.”
Further, Shitij Gandhi, Sr. reiterated. Research Analyst (Technical), SMC Global Securities, a similar view. He noted: “Shares have been steadily rising for months and are now taking a breather near their recent highs – a normal and often healthy sign after a strong rally.”Gandhi added that a breakout above Rs 280 could “open the door for another move upward,” while the 50-day moving average around Rs 250 would act as support in case of a pullback.
Ajit Mishra of Religare Borking also offered a bullish perspective based on weekly charts. He noted that “NYKAA’s weekly chart shows a steady and well-structured uptrend, supported by rising short- and medium-term moving averages… Price action is forming higher highs and higher lows, with improving volumes confirming participation.”
Highlighting the importance of the support zone of Rs 250-255, he stated that the bias remains bullish with scope for a gradual upside continuation towards levels of 300-310.
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(Disclaimer: Recommendations, suggestions, views and opinions expressed by the experts are their own. These do not represent the views of The Economic Times)
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