Stock crash alert! Protean eGov can tank another 39% from here, hint charts

Protean eGov Technologies stock outlook: Technical chart suggests that the stock could slide below the IPO price in coming months; here are the key levels to track.

Shares of Protean eGov Technologies cracked another 14 per cent in opening trades on Tuesday, following the 20 per cent lower circuit yesterday, after the company lost on potential selection for the PAN 2.0 project.  Protean eGov Technologies, over the weekend, informed stock exchanges that the company was not being considered for the next round of the RFP selection process for the PAN 2.0 project by the Income Tax Department.  In the last four trading sessions, the stock has shed 31.6 per cent from a high of ₹1,435 on May 16. That apart, the stock has more-than-halved from its life-time high of ₹2,225 registered in August 2024.  It may be recalled that Protean eGov has issued shares at ₹792 in its maiden public offer. The stock made a quiet debut on the stock exchanges, and thereafter rallied to its life-time high in August 2024. However, since then the stock has broadly witnessed downward pressure.  Follow Stock Market Latest Updates Today LIVE  Following the news, brokerage firm Equirus Securities downgraded the stock to 'Sell' with a target price of ₹900 per share. READ MORE  Can the recent news flow of the company losing out a key project from the Income Tax Department further dent the stock? Here's what the technical chart suggests: 

Protean eGov Technologies

  Current Price: ₹1,046  Downside Risk: 38.8%  Support: ₹925; 800  Resistance: ₹1,130  Protean eGov stock has recovered partly from its day's low of ₹981 thus far on Tuesday. Despite this, the technical chart shows that the near-term bias for the stock is likely to remain negative as long as the stock sustains below ₹1,130 levels. CLICK HERE FOR THE CHART  ALSO READ | How to trade Vodafone Idea, Airtel, TTML after SC dismisses AGR dues plea?  On the downside, the stock can potentially slide all-the-way below its issue price and test levels of around ₹640. Interim support for the stock can be anticipated around ₹925 and ₹800 levels.