BIOCON - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 3.1

📉 BIOCON is currently consolidating with mild bullish signals. While the stock is trading above key moving averages and MACD is positive, weak fundamentals and low volume suggest caution.

📊 Technical Analysis Summary

• Trend Status: Consolidating with mild upward bias
• RSI (61.2): Bullish zone — moderate momentum
• MACD (4.18): Positive crossover — early bullish signal
• Volume: ~35% below 1-week average — weak conviction
• DMA 50 & 200: Price above both — confirms technical support
• Bollinger Bands: Price near mid-band — no strong directional bias

🎯 Entry & Exit Zones

• Support Levels: ₹360, ₹345, ₹330
• Resistance Levels: ₹390, ₹406, ₹425
• Optimal Entry: ₹360–₹370 (on dip)
• Exit Target: ₹390–₹406 (short-term resistance)

✅ Positive

• Price above 50 DMA and 200 DMA — confirms technical strength
• MACD and RSI show early bullish momentum
• FII holding increased by 0.57% — foreign investor interest
• Low debt-to-equity ratio (0.25) — manageable leverage

⚠️ Limitation

• Volume below average — weak participation
• ROCE (2.09%) and ROE (0.40%) — poor capital efficiency
• PEG ratio (-217) and P/E (4,043) — severe valuation distortion due to earnings volatility

📉 Company Negative News

• Quarterly PAT dropped from ₹21.2 Cr to ₹-8.3 Cr — 1,022% decline
• DII holding declined by 0.77% — domestic investor caution

📈 Company Positive News

• Stock up 75.7% from 52-week low — recovery underway
• Technical indicators suggest potential for short-term bounce

🏭 Industry

• Sector: Biopharmaceuticals / Healthcare
• Industry P/E: 33.1 vs BIOCON’s P/E: 4,043 — distorted due to earnings
• Sector outlook stable with long-term growth potential in biosimilars and generics

🧾 Conclusion

• BIOCON is consolidating with early bullish technical signals
• Entry near ₹360–₹370 with targets at ₹390–₹406
• Monitor volume and RSI for confirmation of trend strength
• Fundamental weakness and valuation concerns warrant caution for long-term positions