HDFCLIFE - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Swing Trade Rating: 2.8

HDFCLIFE shows fundamental resilience, but its current technical profile leans bearish and lacks momentum strength for a high-probability swing trade. It's more suited for patient accumulation or long-term positioning rather than short-term trades at this moment.

📊 Fundamental Overview

Valuation

P/E: 86.6 → Expensive vs Industry PE of 73.9

PEG Ratio: 11.0 → Overvalued relative to growth

Profit Trend

Quarterly PAT ↑ from ₹475 Cr to ₹548 Cr → Improving earnings

EPS: ₹8.73 → Underwhelming given high valuation

Return Metrics

ROE: 10.8% | ROCE: 6.58% → Moderate efficiency for insurance sector

Debt-to-Equity: 0.17 → Solid balance sheet

📉 Technical Snapshot

Current Price: ₹756

Trading just below 50 DMA (₹760), above 200 DMA (₹707) → Neutral-to-weak setup

Momentum Indicators

RSI: 44.7 → In weak zone, no sign of rebound yet

MACD: -4.39 → Bearish divergence

Volume: Lower than weekly average → Lack of buying pressure

52W Index: 72.8% → Significant room from peak (₹821)

🎯 Swing Strategy

🛒 Optimal Entry Price

Watch Zone: ₹735–₹745 Wait for price to revisit support near ₹730–₹735 with RSI reversal above 50.

🚪 Exit Strategy

Target Price: ₹775–₹790 Short-term upside capped unless volume and RSI improve.

Stop-Loss: ₹720 Below previous consolidation zone.

🤝 If Already Holding

Consider exiting near ₹775–₹790

Trail stop above ₹735 as price approaches resistance

Avoid fresh buy unless RSI crosses 50 and MACD flattens or turns positive

Would you like me to scan similar insurers with better short-term upside potential? Or prefer to build a low-beta swing basket for diversification? Let's tailor something sharp.

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