INDIGO - Swing Trade Analysis

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

Swing Trade Rating: 4.1

✈️ Technical Breakdown

Price ₹5,756 is above 50 DMA (₹5,655) and far above 200 DMA (₹5,011) — bullish continuation.

RSI (48.5) — nearing momentum zone but not yet overbought.

MACD (46.7) — strongly positive, signaling bullish momentum.

Volume slightly above 1-week average — steady buying interest.

📊 Fundamentals in Focus

Valuation

P/E (38.2) aligns with Industry PE (38.1) — fairly priced.

PEG (0.89) — shows decent growth potential at a reasonable valuation.

Profitability

ROE (103%) and ROCE (17.3%) — exceptionally strong; ROE indicates impressive capital efficiency.

EPS ₹188 — robust earnings capability.

Debt-to-Equity (7.13) — high leverage; typical for airline industry but a risk factor for short-term trades.

PAT Growth (61.9%) — strong quarterly results drive optimism.

🏦 Institutional Sentiment

FII Change +2.19%

DII Change +3.36% — both indicate strong confidence from large investors.

🎯 Trade Plan

📥 Optimal Entry

Ideal entry range: ₹5,710–₹5,735

Confirm swing setup if

RSI crosses 50+

MACD slope continues upward

Volume remains above 6.5 lakh

📤 Exit Strategy (If Holding)

Profit Booking Zone: ₹5,950–₹6,010 (recent high)

Stretch Target: ₹6,100–₹6,175 — contingent on RSI > 60 and MACD still climbing

Exit fully if momentum stalls near ₹6,000 and volume weakens below daily average

🔍 Final Takeaway

INDIGO is a strong swing candidate right now. Technicals are firm, fundamentals are top-notch, and institutional support is solid. Only caution? High debt. But short-term traders can still ride the wave if signals align.

Need help screening other aviation or transport stocks for short-term setups? I’ve got a watchlist ready to take off.

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