HONASA - Technical Analysis

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

Technical Rating: 2.7

Here’s a refined technical breakdown of HONASA, spotlighting the pressure points and potential plays for short-term positioning

📊 Trend Structure

Current Price (₹265) sits below both the 50-DMA (₹287) and 200-DMA (₹296) → confirms a bearish undertone, possibly still in a downtrend.

Steep fall from ₹547 to ₹265 highlights prolonged price erosion — recovery attempts lack strength.

📉 Trend Status: Reversing with potential support near lows.

🔍 Momentum Signals

RSI (30.4): Hovering around oversold territory, could suggest a short-lived bounce if buying returns.

MACD (-8.77): Deep in the red and diverging negatively → confirms strong downside momentum.

Volume: Well below 1-week average → reflects weak participation, reinforcing seller dominance.

📉 Bollinger Bands Setup

Price likely riding the lower Bollinger Band or even breaching it, which reinforces oversold status but isn’t a reversal signal by itself.

Look for band squeeze or expansion with volume to confirm directional breakout.

📈 Support & Resistance Zones

Zone Type Price Range (₹) Commentary

Support 250 – 260 Close to current price, possible bounce zone

Resistance 285 – 295 50-DMA cluster, overhead supply zone

Breakout Zone 300+ Technical trigger for trend reversal

🎯 Trade Setup

Entry Zone: ₹255–₹265 (oversold bounce play with tight SL)

Exit Zone: ₹285–₹295 (resistance zone just below 50-DMA)

Stop Loss: ₹248 (risk control below short-term support)

📌 Conclusion

HONASA is in clear reversal territory, weakened by poor price action and fading momentum.

A cautious bounce strategy near support may work for short-term tactical trades.

Long-term positioning should wait for signs of MACD flattening, volume recovery, and a close above ₹300.

Want to explore how this compares with newer D2C brands or map a recovery projection against sector sentiment? That could highlight where HONASA stands in a crowded space. 🧴📊

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