HAL - Technical Analysis

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

Technical Rating: 2.9

Here’s a detailed technical breakdown of HAL, which appears to be experiencing short-term weakness despite its strong fundamentals

📉 Trend Positioning

Current Price (₹4,498) sits below the 50-DMA (₹4,770) but remains above the 200-DMA (₹4,413) → a sign of a pullback within a broader uptrend.

The stock has recently declined from its high of ₹5,166, indicating short-term bearish pressure.

Trend status: Reversing or Weakening, unless support near 200-DMA holds and triggers a rebound.

⚠️ Momentum Indicators

RSI (29.7): Dipping into oversold territory, suggesting the stock is under selling pressure but may be ripe for a technical bounce.

MACD (-94.6): Deeply negative and diverging → signals strong bearish momentum, confirming RSI's weakness.

Volume Spike: Current volume is much higher than the weekly average, which could suggest panic selling or a capitulation event.

📊 Bollinger Bands

With the RSI and MACD pointing sharply downward, price likely hugging or breaking through the lower Bollinger band → indicates volatile and oversold condition, watch for mean reversion setups.

📌 Support & Resistance Zones

Zone Type Price Range (₹) Commentary

Strong Support 4,400 – 4,450 Around 200-DMA, critical floor for reversal

Resistance 4,770 – 4,800 50-DMA zone, upside hurdle

Breakout Zone 5,000+ Needs strong momentum and volume confirmation

🎯 Entry & Exit Strategy

Entry Zone: ₹4,425–₹4,450 (if RSI stabilizes and MACD flattens)

Exit Zone: ₹4,750–₹4,800 (test resistance and lock profits)

Stop Loss: Below ₹4,400 (200-DMA breakdown would trigger wider downside)

🧭 Conclusion

HAL is in a short-term reversal or pullback phase with signs of bottoming near major support.

Aggressive traders may consider a bounce play near ₹4,425 with tight stops, while conservative traders may wait for signs of reversal via RSI uptick and MACD flattening.

The strong quarter profit and zero debt profile make it worth keeping on the radar if the technicals start aligning.

Want me to track this with real-time defense sector momentum or check how peers like BEL or BDL are moving? That could give us a clearer edge. 🛰️📈

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