Stocks such as Divi’s Laboratories, Ipca, Dr Reddy’s, Cipla, and Alkem Laboratories have gained between 2% and 4% in the past week. The sector was in a consolidation phase in the past year due to a decline in business growth post-Covid, and valuations dropped about a fifth.
Chart Check: RITES trading near crucial support levels; buy for a bounce back towards 500 levels
Short-term traders can look to buy the stock now for a possible bounce back towards 500 levels in the next 2-3 months, suggest experts.