April is a month of events. On April 7, 2025, news about US tariffs caused global market volatility. However, Indian stocks started off lower but quickly recovered, rising from 22,400 to 24,300 in just 15 days. This recovery was partly because the RBI cut rates on April 9, 2025. This helped boost market sentiment and stabilize prices. Sectors like real estate, auto, and finance are showing signs of recovery. Based on current trends, it looks like the real estate sector may perform well soon.
Oberoi Realty: Signs of a Potential Bullish Reversal After a 38% Drop
Oberoi Realty has seen a big 38% drop from its peak in December 2024, with the price falling from ₹2,343 to ₹1,451. However, recent price movements suggest it may be starting to turn around, as the stock has bounced back from these lower levels. This could mean renewed interest from investors and the start of an upward trend.
Key Indicators Showing Oberoi Realty’s Possible Reversal:
- Double Bottom Pattern: The stock is forming a “double bottom” pattern, which is a sign that the price may start going up.
- 50-Day Moving Average: After the drop, the stock has found support and is staying above its 50-day moving average, a sign of a potential trend reversal.
- Rising Volume: The volume of shares traded has been increasing as the price moves up, which could point to a trend change.
- Stronger RSI Momentum: The Relative Strength Index (RSI) has crossed above 60, showing signs of strength and suggesting that the stock may keep rising.
Outlook for Oberoi Realty
Oberoi Realty gave an impressive 195% return from April 2023 to December 2024, but since then, it has seen a price drop from ₹2,345 to ₹1,450. Despite this, signs of recovery are starting to show. The stock has formed a bullish reversal pattern called a double bottom and is now trading above its 50-day moving average. Also, the 14-period RSI shows signs of strength and is in the bullish zone, suggesting that Oberoi Realty could be ready to potentially move upwards.
DLF: Ready for a Potential Reversal After Price Correction
DLF saw a 33% drop from January 2025 to March 2025. However, the stock has since bounced back and is showing signs of a potential reversal. Bullish signals on the daily chart suggest that the previous upward trend could resume, indicating that a recovery phase may be starting.
Key Technical Indicators Supporting DLF’s Reversal:
- Falling Channel: DLF has broken out from the classic falling channel pattern, reinforcing the potential for the previous trend to continue.
- 50-Day Simple Moving Average: After the deep correction, the stock has recently found support and prices are sustaining above its 50SMA, a classic signal of bullish sentiment and trend reversal.
- Volume Surge Confirming the Breakout: The simultaneous rise in price and volume signals strong participation, validating the bullish momentum.
- Strengthening RSI Momentum: The 14-period RSI has moved above the 55 level, indicating bullish divergence and pointing to further upside potential.
Outlook for DLF
DLF gave an impressive 187% return from March 2023 to March 2025. However, the stock has recently faced pressure, falling from ₹896 to ₹601. Despite this drop, technical indicators are showing early signs of recovery. The breakout above a key bullish pattern, along with rising volumes and a strengthening RSI, suggests that DLF could be set for a potential upward move.
Both Oberoi Realty and DLF are showing strong technical signals that point to a potential bullish trend in the realty sector. These stocks are forming bullish chart patterns, exhibiting strengthening RSI readings, and showing key breakouts, all of which suggest increasing momentum and a positive outlook.
With the RBI’s rate cut, the real estate sector is likely to benefit from improved affordability and sentiment, making these stocks even more attractive. As interest rates lower, demand for housing and real estate investments could pick up, providing further support for a potential upward move in these stocks.
Disclaimer:
Note: The purpose of this article is only to share interesting charts, data points and thought-provoking opinions. It is NOT a recommendation. If you wish to consider an investment, you are strongly advised to consult your advisor. This article is strictly for educative purposes only.
As per SEBI guidelines, the writer and his dependents may or may not hold the stocks/commodities/cryptos/any other assets discussed here. However, clients of Jainam Broking Limited may or may not own these securities.
Kiran Jani has over 15 years of experience as a trader and technical analyst in India’s financial markets. He is a well-known face on the business channels as Market Experts and has worked with Asit C Mehta, Kotak Commodities, and Axis Securities. Presently, he is Head of the Technical and Derivative Research Desk at Jainam Broking Limited.
Disclosure: The writer and his dependents do not hold the stocks discussed here. However, clients of Jainam Broking Limited may or may not own these securities.
The website managers, its employee(s), and contributors/writers/authors of articles have or may have an outstanding buy or sell position or holding in the securities, options on securities or other related investments of issuers and/or companies discussed therein. The content of the articles and the interpretation of data are solely the personal views of the contributors/ writers/authors. Investors must make their own investment decisions based on their specific objectives and resources, and only after consulting such independent advisors if necessary.