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CIPLA - Technical Analysis

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

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📊 Technical Analysis Summary for CIPLA

Technical Rating: 4.2

📈 Trend Status & Chart Patterns

Trend Status: The stock is currently trending upward, supported by strong momentum and a breakout above key resistance.

Pattern Observed: A Cup and Handle breakout on the weekly chart confirms bullish continuation. Price action is forming higher highs and higher lows.

Price Action: Trading near its 52-week high with strong bullish candles and volume confirmation.

📉 Moving Averages

50 DMA: ₹1,499 — Current price is above, indicating short-term bullishness.

200 DMA: ₹1,488 — Also above, confirming long-term uptrend.

Signal: All major moving averages are sloping upward, reinforcing strength.

📊 RSI & MACD

RSI: 71.1 — In overbought zone, but consistent with strong uptrend.

MACD: +10.3 — Positive and above signal line, confirming bullish momentum.

Signal: Momentum is strong; minor pullbacks may occur but trend remains intact.

📉 Bollinger Bands

Price is near the upper band, suggesting strong buying pressure.

Signal: May consolidate or pull back slightly before next leg up.

🔊 Volume Trends

Current Volume: 13.3 lakh vs 1-week Avg: 27.2 lakh — Below average, indicating reduced participation.

Signal: Volume contraction during uptrend suggests healthy consolidation, not weakness.

📌 Support & Resistance Zones

Level Price (₹) Commentary

Support 1 1,525 Recent breakout zone

Support 2 1,488 200 DMA, strong long-term support

Resistance 1 1,600 Psychological level

Resistance 2 1,702 52-week high

🎯 Entry & Exit Zones

Optimal Entry: ₹1,525–₹1,540 (on pullback near support)

Exit Target: ₹1,675–₹1,700 (if momentum sustains)

Stop-Loss: ₹1,485 (below 200 DMA)

🧭 Final Take

CIPLA is in a strong bullish trend with momentum indicators and moving averages aligned positively. While RSI suggests short-term overbought conditions, the overall setup favors continuation. Traders may consider buying on dips near ₹1,525 with a target toward ₹1,700.

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