Ashok Leyland, Paytm Fall After Six-Day Rally; Analyst Sees Positive Charts

After a Six-Session Surge, Ashok Leyland and Paytm Face a Test of Momentum

Both shares retreated after a strong run, but an analyst says their chart structures remain constructive if key levels hold.

A pause after rapid gains

Ashok Leyland dropped as much as 2.7% to an intraday low of ₹173.28, with 19.4 million shares traded on the NSE. The decline followed a rally of nearly 23% over the previous six sessions. Paytm, the parent company of One 97 Communications, slipped 1.4% to ₹1,776, after gaining 10% across the same period. About 12.5 lakh shares changed hands on the NSE.

The reversal marks a change in the day’s direction, not by itself a confirmed break in either stock’s broader trend. After a concentrated run-up, a decline can reflect investors booking gains or reassessing entry points; the supplied trading data does not establish which factor drove Monday’s moves. The scale of the prior advances makes the ability to hold key chart levels particularly relevant.

Ashok Leyland’s support and resistance levels

Sachin Gupta, vice-president of research at Choice Broking, sees signs of a bullish reversal in Ashok Leyland’s weekly chart. His assessment points to support near the 61.8% Fibonacci retracement level of ₹141.55 and the 100-week simple moving average at ₹144. The stock’s recovery from those levels, accompanied by strong volumes, is a technical indication of renewed buying interest, in his view.

Gupta also notes that the Relative Strength Index has turned higher and reached 57, which he interprets as gradually improving momentum. For the near-term outlook, he identifies ₹175 as a level to watch: a sustained move above it could strengthen the bullish case and open a potential path towards ₹185–193. These are analyst projections, not assured price outcomes. Ashok Leyland is scheduled to announce its Q2 results on November 14, 2026, giving investors a forthcoming business update to assess alongside the chart.

Paytm’s chart outlook meets stronger earnings

Paytm’s technical setup is also positive in Gupta’s assessment. The stock is hovering near prior swing highs and remains above its 100-day simple moving average of ₹1,523, which he says keeps the broader trend positive. He sees a sustained break above ₹1,870, backed by strong volumes, as a possible trigger for an advance towards ₹1,900–₹1,950.

The technical view comes alongside a sharp year-on-year improvement in Paytm’s reported Q2FY27 numbers. Net profit rose more than tenfold to ₹225 crore from ₹21 crore in Q2FY26, while revenue from operations increased 28% to ₹2,648 crore. Those results offer investors operating context beyond the share chart, but the supplied figures do not establish whether the earnings growth will continue at the same pace. The stock’s ability to hold gains and approach the analyst’s stated threshold remains a separate consideration.

Key Highlights

• Ashok Leyland fell as much as 2.7% after gaining nearly 23% in six sessions.
• Paytm slipped 1.4% after a 10% advance over the previous six trading sessions.
• Choice Broking’s Sachin Gupta identifies ₹175 as a key near-term level for Ashok Leyland.
• For Paytm, Gupta cites ₹1,870 as a breakout level, with ₹1,900–₹1,950 as a possible upside range.
• Paytm reported Q2FY27 net profit of ₹225 crore and revenue from operations of ₹2,648 crore.

Investor Note: The pullbacks follow substantial short-term gains, so investors may want to distinguish a routine pause from a sustained loss of technical support. The cited price levels are an analyst’s view, not a guarantee; Paytm’s reported earnings and Ashok Leyland’s forthcoming results should also be weighed against individual risk tolerance and investment time horizon.