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HAL - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.3

Last Updated Time : 28 May 26, 08:26 pm

Technical Rating: 4.3

Stock Code HAL Market Cap 2,95,211 Cr. Current Price 4,415 ₹ High / Low 5,150 ₹
Stock P/E 32.5 Book Value 611 ₹ Dividend Yield 0.91 % ROCE 32.0 %
ROE 24.0 % Face Value 5.00 ₹ DMA 50 4,315 ₹ DMA 200 4,339 ₹
Chg in FII Hold -0.65 % Chg in DII Hold 0.75 % PAT Qtr 4,184 Cr. PAT Prev Qtr 1,852 Cr.
RSI 51.6 MACD 33.1 Volume 5,60,653 Avg Vol 1Wk 9,58,386
Low price 3,479 ₹ High price 5,150 ₹ PEG Ratio 2.03 Debt to equity 0.00
52w Index 56.0 % Qtr Profit Var 5.71 % EPS 136 ₹ Industry PE 68.9

📈 Chart Patterns: HAL is trading near its short-term resistance zone (₹4,415–₹4,450) with a broader structure showing strong recovery from lows (₹3,479). The price action reflects higher highs, supported by strong fundamentals, but capped by resistance at ₹5,150.

📊 Moving Averages: Current price (₹4,415) is above DMA 50 (₹4,315) and DMA 200 (₹4,339), confirming bullish momentum and medium-term strength.

📉 RSI: At 51.6, RSI is neutral, suggesting balanced momentum without overbought signals.

📈 MACD: Positive at 33.1, showing bullish crossover and continuation of upward momentum.

📉 Bollinger Bands: Price is near the mid-band, reflecting consolidation with scope for breakout if volumes rise.

📊 Volume Trends: Current volume (5.6L) is below average weekly volume (9.6L), showing reduced participation and lack of strong buying conviction.

Short-Term Momentum Signals: Neutral-to-bullish momentum; breakout possible if price sustains above ₹4,450 with volume support.

🎯 Entry Zone: ₹4,350–₹4,415 (support region).

🎯 Exit Zone: ₹4,950–₹5,150 (resistance zone).

🔀 Trend Status: Trending upward with consolidation; reversal unlikely unless price falls below ₹4,315.


Positive

  • Strong ROCE (32.0%) and ROE (24.0%) highlight operational efficiency.
  • EPS at ₹136 supports earnings visibility.
  • Debt-free balance sheet (Debt-to-equity 0.00).
  • Price trading above both DMA 50 and DMA 200 confirms bullish trend.

Limitation

  • Dividend yield at 0.91% is modest.
  • Quarterly PAT declined slightly (₹3,017 Cr. to ₹2,934 Cr.).
  • FII holdings decreased (-0.65%), showing reduced foreign investor confidence.
  • Volume below average weekly levels reduces breakout conviction.

Company Negative News

  • Decline in FII holdings (-0.65%).
  • Volume weakness despite bullish technical setup.

Company Positive News

  • Quarterly PAT growth (+5.71%) shows earnings improvement.
  • DII holdings increased (+0.75%), showing domestic investor confidence.
  • Stock trading near 52-week high (₹5,150) reflects bullish sentiment.

Industry

  • Industry PE at 68.9 vs. HAL PE at 32.5 shows relative undervaluation.
  • Aerospace and defense sector remains strong with government contracts and long-term demand visibility.

Conclusion

HAL is trending upward with bullish undertones. Short-term traders may consider entry around ₹4,350–₹4,415 with exit near ₹4,950–₹5,150. Long-term investors should monitor volume strength and sector demand before fresh accumulation.

Would you like me to expand this into a sector overlay HTML report comparing HAL with BEL, BEML, and Mazagon Dock, or keep it strictly as a standalone technical rating?

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