These defence stocks cracked up to 28% from recent highs; correction over?

Technical charts show that defence stocks such as BDL, Mazagon Dock, Cochin Shipyard, ideaForge and GRSE can fall another 18% from here; check support levels each defence shares here.

After surging up to 123 per cent earlier this year, shares of defence stocks have witnessed a notable correction in prices on the stock exchanges, and are down up to 27 per cent from their recent highs.  Earlier in 2025, shares of Garden Reach Shipbuilders & Engineers (GRSE), Bharat Dynamics, Paras Defence and Solar Industries from the Nifty Defence index rallied in the range of 80 - 123 per cent, with GRSE as the top gainer.  Among others, Mazagon Dock Shipbuilders, Cochin Shipyard, Astra Microwave Products, Bharat Electronics and Mishra Dhatu Nigam (Midhani) gained in the range of 45 - 70 per cent, as these shares registered fresh calendar year highs.  However, after registering the highs defence stocks have witnessed some profit-taking, and are down up to 28 per cent from their recent highs. Cochin Shipyard, ideaForge, DCX India, GRSE, Mazagon Dock and Bharat Dynamics are among the top losers.  ALSO READ | Near-term bias for Nifty turns negative, can dip 3% from here; hint charts      

Top 5 Defence Stocks Analysis

At present levels, is the stock price correction over for these defence stocks, or is there further downside possible? Here's what the technical charts suggest for these 5 defence stocks. 

Cochin Shipyard

Current Price: ₹1,839  Likely Target: ₹1,593  Downside Risk: 13.4%  Support: ₹1,800; ₹1,760; ₹1,738  Resistance: ₹1,958; ₹2,032  Cochin Shipyard stock has declined as much as 28 per cent from its recent high of ₹2,545 June 6, 2025. The stock is presently seen trading below its short-term moving averages - both - the 20-Day Moving Average (20-DMA) and the 50-DMA, which stand at ₹1,958 and ₹2,032, respectively. 

 

  On the downside, the stock seems headed towards the 100-DMA, which stands at ₹1,738 levels; below which a dip towards the 200-DMA at ₹1,593 cannot be ruled out. Interim support for the stock can be anticipated around ₹1,800 and ₹1,760 levels. 

ideaForge Technology

Current Price: ₹488  Likely Target: ₹398  Downside Risk: 18.4%  Support: ₹472; ₹455; ₹425  Resistance: ₹494; ₹517; ₹537  ideaForge has shed 27 per cent from its 2025 high, and is currently seen seeking support around its 100-DMA on the daily scale. The 100-DMA support stands at ₹472, and coincides with the 20-Week Moving Average. 

 

  The weekly chart shows, break and sustained trade below this key support, could see the stock extend the fall towards ₹398-odd levels. Intermediate support for the stock can be anticipated around ₹455 and ₹425 levels.  The bias at the counter is likely to remain negative as long as the stock trades below ₹537 levels, with near resistance seen at ₹494 and ₹517 levels.  ALSO READ | 5 stocks above ₹10,000 that can rally up to 25% from here 

Garden Reach (GRSE)

Current Price: ₹2,605  Likely Target: ₹2,300  Downside Risk: 11.4%  Support: ₹2,465; ₹2,350  Resistance: ₹2,780; ₹2,875; ₹2,930  GRSE stock has plunged 26 per cent in the last one month, and is seen trading below the short-term moving averages. The near-term bias is likely to remain tepid as long as the stock trades below ₹2,875 levels; with resistance also seen at ₹2,780 and ₹2,930 levels.  On the downside, the stock may slide towards its 100-DMA at ₹2,300 levels; with interim support likely around ₹2,465 and ₹2,350 levels. 

 

 

Mazagon Dock

Current Price: ₹2,913  Likely Target: ₹2,460  Downside Risk: 15.6%  Support: ₹2,775; ₹2,650; ₹2,588  Resistance: ₹2,990; ₹3,090; ₹3,150  Mazagon Dock is seen trading around its 100-DMA, which stands at ₹2,960, for the last five trading sessions. Select momentum oscillators have reached the oversold zone, hence some relief cannot be ruled out. 

 

  Having said that, the overall bias at the counter is likely to remain bearish as long as the stock trades below ₹3,150 levels; with near resistance likely around ₹2,990 and ₹3,090 levels.  On the flip side, break and sustained trade below the 100-DMA, can drag the stock towards ₹2,460 levels, shows the medium-term chart. Interim support for the stock can be anticipated around ₹2,775, ₹2,650 and the 200-DMA at ₹2,588 levels. 

Bharat Dynamics (BDL)

Current Price: ₹1,650  Likely Target: ₹1,350  Downside Risk: 18.2%  Support: ₹1,550; ₹1,420  Resistance: ₹1,760; ₹1,825.  BDL stock is seen trading within striking distance of the 100-DMA support, which stands at ₹1,614 levels. The stock looks fairly oversold at current levels, hence some pullback cannot be ruled out. However, the short-term bias is likely to remain subdued as long as the stock trades below ₹1,825; with near resistance at ₹1,760 levels.  On the downside, break and sustained trade below the 100-DMA, shall open the doors for a likely extended slide towards the 200-DMA at ₹1,350 levels; with interim support likely around ₹1,550 and ₹1,420 levels.