Adani Power shares crashed more than 6% in intraday trade on the BSE on Thursday, 8 October, amid broader stock market weakness. Adani Power share price opened at ₹196 against its previous close of ₹196.60 and dropped 6.3% to hit an intraday low of ₹184.15 during the session, looking set to extend losses for the second consecutive session. Meanwhile, equity benchmark Sensex declined 1.5% during the day.
The decline in the shares of Adani Power can be largely attributed to profit booking amid prevailing weakness in the stock market. The stock is down about 8% so far this month after a 3% rise in September.
Year-to-date, the stock is 26% up compared to a 16% fall in the equity benchmark Sensex and a 6% rise in the BSE Power index. Over the last six months, the stock has gained 11%.
According to Jigar S. Patel, Senior Manager of Equity Technical Research at Anand Rathi Share and Stock Brokers, Adani Power stock is currently at a crucial technical juncture, with ₹182– ₹183 emerging as a major support zone.
Patel underscored that a decisive closing below this support could increase selling pressure and drag the stock towards the next support near ₹170. On the flip side, if the stock manages to sustain above ₹185, a short-term recovery towards ₹196 cannot be ruled out.