GICRE - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 19 Sept 25, 2:16 pm

Technical Rating: 3.3

Here’s a detailed technical analysis of GICRE (General Insurance Corporation of India)

📉 Trend Analysis

Current Price (₹364) is trading below both 50-DMA (₹378) and 200-DMA (₹389) — indicating a bearish trend.

52-week Index at 10.7% shows the stock is near its yearly low (₹345), far from the high of ₹526.

Trend Status: Reversing downward, with no signs of stabilization yet.

🔍 Momentum Indicators

RSI (39.5): In the oversold zone, suggesting potential for a technical bounce, but not yet confirmed.

MACD (-3.78): Negative — confirms bearish divergence and short-term weakness.

Volume: At 6.56L, slightly below 1-week average (6.83L) — indicates low conviction and lack of fresh buying interest.

📊 Chart Patterns & Moving Averages

Price is trending below key moving averages, reinforcing bearish sentiment.

Support Levels

₹345 (52-week low)

₹328 (book value support)

Resistance Levels

₹378 (50-DMA)

₹389 (200-DMA)

₹400–₹420 (gap zone and psychological resistance)

📉 Bollinger Bands

Price is near the lower band, indicating oversold conditions.

Bands are expanding, suggesting volatility and potential for sharp moves.

🎯 Entry & Exit Zones

Action Price Zone (₹) Rationale

Entry 345–355 Near 52-week low, oversold setup

Exit (Short-Term) 378–400 Resistance zone, potential reversal

Stop Loss 328 Below book value and key support

🧭 Summary

Trend: Reversing downward

Momentum: Bearish, nearing oversold

Volatility: High, with bounce potential

Ideal Strategy: Cautious accumulation near ₹345–₹355 with target ₹378–₹400. Wait for MACD flattening and RSI rebound above 45 for confirmation.

Let me know if you'd like to compare this setup with other insurance sector stocks or explore dividend yield plays for defensive positioning.

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