INDIGO - Swing Trade Analysis with AI Signals

Last Updated Time : 19 Sept 25, 2:15 pm

Swing Trade Rating: 3.7

📊 Analysis of INDIGO for Swing Trading

InterGlobe Aviation (INDIGO) presents a mixed setup for swing trading, with strong fundamentals but some technical and valuation concerns that suggest caution.

✅ Positives

ROE of 104%: Exceptionally high, indicating strong profitability and efficient use of equity.

PEG Ratio of 0.78: Suggests undervaluation relative to earnings growth.

FII & DII Holding Increase: Institutional confidence is rising (FII +2.19%, DII +3.36%).

Trading Near 200-DMA: Current price is above the 200-DMA (₹5,251), indicating long-term bullishness.

⚠️ Concerns

MACD Negative (-42.6): Indicates bearish momentum.

RSI at 45.4: Neutral to weak; lacks strong upward momentum.

PAT Decline: From ₹3,073 Cr. to ₹2,161 Cr. — a 20.7% drop.

High Debt-to-Equity (7.21): Leverage risk is significant.

Low Dividend Yield (0.17%): Not attractive for income investors.

Volume Below Average: Indicates reduced short-term interest.

📈 Optimal Entry Price

Ideal Entry Zone: ₹5,650–₹5,700

Slightly below 50-DMA (₹5,763), allowing entry on a pullback with better risk-reward.

📉 Exit Strategy (If Already Holding)

Target Exit Price: ₹5,950–₹6,050

Just below recent high (₹6,232), capturing short-term upside.

Stop Loss: ₹5,500

Below 200-DMA to protect against downside reversal.

INDIGO is suitable for swing traders who can manage risk and monitor technical signals closely. Let me know if you'd like help tracking this setup or setting alerts.

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