Endurance Technologies Ltd. has recently witnessed a price correction after a strong rally, slipping nearly 5% in intraday trade. This movement appears to be driven by profit booking and sector rotation within the midcap space. Despite the short-term weakness, technical indicators suggest that the long-term structure of the stock remains intact and bullish.
Support and Resistance Zones
The stock has found recent buying interest near ₹2,534, which now acts as a crucial support level. This level represents the prior consolidation zone where accumulation occurred. If the correction continues, traders should watch this zone closely for signs of demand.
On the upside, ₹2,884.15 stands as the immediate resistance. A breakout above this mark would confirm trend continuation and could attract fresh momentum buying. Entering only after a breakout above ₹2,884.15 with a stop-loss at ₹2,534 ensures a safer trade setup with clearly defined risk.
Relative Strength Indicator (RS)
The RS value stands at 0.16, which means Endurance Technologies is outperforming the Nifty 50 index. This positive RS reading adds weight to the long-term bullish sentiment despite the ongoing short-term correction.
Momentum Score Analysis (StockEdge)
1 Month: 68/100 – Bullish
3 Months: 80/100 – Bullish
6 Months: 85/100 – Strongly bullish
The momentum scores show that while the short-term trend is consolidating, the medium- and long-term momentum remains healthy. This suggests the recent dip could be a temporary breather before another leg up.
Trading Strategy
The stock has shown strong relative strength, and a pullback like this can present opportunity if managed well. The ideal strategy would be:
- Entry: Above ₹2,884.15 on strong volume
- Stop-Loss: ₹2,534 (previous swing low)
- Exit Rule: Don’t preset a fixed target. Instead, trail the position as long as:
- RS stays positive
- RSI remains above 50 on the daily chart
Once these conditions weaken, it would indicate loss of momentum and traders can consider exiting.
Endurance Technologies Ltd. is in a short-term corrective phase after a sharp rally. However, it continues to outperform the broader market and holds strong momentum on longer timeframes. A breakout above ₹2,884.15 could signal the start of a fresh move upward. Traders should maintain a disciplined stop-loss and follow trend-based signals instead of fixed targets to make the most of this opportunity.
Viraj Jain is an active stock market trader and technical analyst with a sharp eye for identifying trend-driven opportunities. Passionate about market movements and price behavior, he specializes in analyzing crucial support and resistance levels in high-momentum stocks. Viraj is dedicated to keeping fellow investors informed with timely stock updates, chart-based insights, and actionable technical analysis that bridges the gap between market noise and informed trading decisions.