HDFCLIFE - Technical Analysis

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

Technical Rating: 3.7

Here’s a detailed technical breakdown of HDFC Life Insurance Company Ltd (HDFCLIFE)

📊 Trend Analysis

Current Price: ₹756 is slightly below the 50-DMA (₹760) but well above the 200-DMA (₹707), indicating short-term consolidation within a medium-term uptrend.

RSI (44.7): In the lower neutral zone, suggesting weak momentum and potential for further cooling.

MACD (-4.39): Bearish crossover, confirming short-term downward pressure.

Volume: Current volume is below the 1-week average, indicating reduced participation and lack of strong accumulation.

📈 Chart Patterns & Indicators

Moving Averages

Price > 200-DMA → Medium-term bullish

Price < 50-DMA → Short-term weakness

Bollinger Bands: Price likely near the middle or lower band, suggesting range-bound movement with no breakout.

Support Levels

Immediate support at ₹740–₹745 (recent swing lows)

Major support at ₹707 (200-DMA zone)

Resistance Levels

Immediate resistance at ₹770–₹780 (recent highs)

Major resistance at ₹800–₹821 (52-week high zone)

🚦 Momentum Signals

Short-Term Signal: Mildly bearish

Trend Status: Consolidating, with signs of reversal if price breaks below ₹740

Volume Trend: Weak volume confirms neutral sentiment

🎯 Entry & Exit Zones

Action Price Zone (₹) Rationale

Buy Zone 740–750 Near support, risk-reward favorable

Breakout Buy Above 780 Confirmation of bullish continuation

Exit Zone 800–820 Resistance zone, profit booking

Stop Loss Below 730 Breach of key support

🧠 Final Take

HDFCLIFE is currently consolidating after a strong rally earlier in the year. While fundamentals remain solid (low debt, improving PAT, high PEG ratio), technical indicators suggest caution. A breakout above ₹780 with volume could reignite bullish momentum. Until then, expect sideways movement with a mild bearish bias.

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