ADANIPOWER - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:54 pm

Technical Rating: 3.5

📊 Chart Patterns & Trend: ADANIPOWER is trading below its 50 DMA (146 ₹) but above its 200 DMA (131 ₹), showing short-term weakness but long-term support. Price action indicates consolidation near 140–145 ₹ after failing to sustain highs of 183 ₹, with strong support around 130–135 ₹.

📈 Moving Averages: Current price (142 ₹) is below the 50 DMA but above the 200 DMA, suggesting consolidation with mild bearish bias in the short term.

📉 RSI: At 40.0, RSI is leaning towards oversold territory, signaling potential accumulation zone.

📊 MACD: Negative MACD (-2.29) confirms bearish momentum, highlighting caution for traders.

📊 Bollinger Bands: Price is near the lower band, indicating oversold conditions. A bounce is possible if buying interest emerges.

📊 Volume Trends: Current volume (76.9L) is below 1-week average (102.7L), showing reduced participation and lack of conviction in recent moves.

🎯 Entry Zone: 135–142 ₹ (near support and oversold RSI).

🚪 Exit Zone: 155–165 ₹ (resistance zone).

⚠️ Stop Loss: 130 ₹ (below 200 DMA support).

📌 Overall Trend: Consolidating with bearish bias. A reversal requires sustained move above 150–155 ₹ with strong volume.

Positive

• Strong ROCE (23.7%) and ROE (27%).
• EPS of 5.83 ₹ indicates earnings stability.
• DII holding increased by 0.94%.
• PEG ratio of 0.76 suggests attractive valuation relative to growth.
• Strong 52-week performance (+56.2%).

Limitation

• Stock trading below 50 DMA, showing short-term weakness.
• Dividend yield of 0.00% offers no income cushion.
• Debt-to-equity ratio of 0.94 is relatively high.
• Volume participation is weak, limiting breakout potential.

Company Negative News

• FII holding reduced by -0.93%.
• PAT declined from 3,119 Cr. to 2,735 Cr. (-7.43% variation).

Company Positive News

• DII holding increased by 0.94%.
• Quarterly profit remains strong despite slight decline.

Industry

• Industry PE at 21.9, slightly lower than company’s P/E of 24.3.
• Power sector remains competitive with moderate growth outlook.

Conclusion

⚖️ ADANIPOWER is consolidating near support levels with RSI suggesting potential rebound. Entry near 135–142 ₹ offers limited upside unless price breaks above 155–165 ₹ with strong volume. Fundamentally strong with attractive PEG ratio, but technically weak in the short term, making cautious accumulation advisable.