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COFORGE - Technical Analysis

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

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📊 Technical Analysis Summary for COFORGE

Technical Rating: 3.3

📉 Trend Status & Chart Patterns

Trend Status: The stock is currently in a reversal phase, pulling back from its 52-week high of ₹2,005.

Pattern Observed: A descending channel is forming, with lower highs and lower lows, indicating short-term bearishness.

Price Action: Trading below both 50 DMA and 200 DMA, confirming weakness in momentum.

📈 Moving Averages

50 DMA: ₹1,790 — Current price is below, signaling short-term bearishness.

200 DMA: ₹1,626 — Current price is slightly above, suggesting long-term trend is still intact.

Signal: Bearish crossover confirmed; watch for support near 200 DMA.

📊 RSI & MACD

RSI: 34.7 — Near oversold territory, but not yet a reversal signal.

MACD: -27.5 — Deeply negative, confirming strong bearish momentum.

Signal: Momentum is weak; wait for bullish divergence or RSI recovery above 40.

📉 Bollinger Bands

Price is near the lower band, indicating oversold conditions.

Signal: Potential for a short-term bounce, but trend remains negative.

🔊 Volume Trends

Current Volume: 36.08 lakh vs 1-week Avg: 49.10 lakh — Below average, suggesting lack of conviction.

Signal: Weak volume on down days implies passive selling, not panic.

📌 Support & Resistance Zones

Level Price (₹) Commentary

Support 1 1,650 Near recent swing low

Support 2 1,620 Strong base near 200 DMA

Resistance 1 1,790 50 DMA, short-term resistance

Resistance 2 1,850 Prior bounce zone

🎯 Entry & Exit Zones

Optimal Entry: ₹1,620–₹1,650 (near 200 DMA with tight stop-loss)

Exit Target: ₹1,780–₹1,850 (if bounce confirmed)

Stop-Loss: ₹1,600 (below recent swing low)

🧭 Final Take

COFORGE is showing signs of short-term reversal with bearish momentum indicators and a breakdown below the 50 DMA. However, the 200 DMA is holding as a key support. Traders should wait for confirmation of a bounce before entering. Long-term investors may consider accumulating near ₹1,620 with disciplined risk management.

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