ICICIBANK - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:54 pm

Technical Rating: 3.9

📊 Chart Patterns: ICICI Bank is trading slightly below its 50 DMA (1,376 ₹) and 200 DMA (1,369 ₹), showing short-term weakness but holding above long-term support. Current price (1,354 ₹) is near support at 1,340–1,350 ₹, with resistance around 1,375–1,400 ₹. Broader range remains 1,340–1,400 ₹.

📉 Moving Averages: Price below both averages indicates short-term bearish sentiment. Sustaining above 1,376 ₹ is needed to regain strength.

📉 RSI: At 43.2, RSI is neutral to weak, suggesting limited momentum and potential consolidation.

📉 MACD: Negative at -3.86, confirming bearish momentum and signaling caution for traders.

📊 Bollinger Bands: Price is near the mid-band, suggesting sideways consolidation within the current range.

📉 Volume Trends: Current volume (82,91,310) is slightly below average weekly volume (90,10,545), showing reduced participation and lack of strong buying conviction.

📌 Short-term Momentum Signals: Weak momentum with neutral RSI and negative MACD. A bounce is possible if price holds above 1,340 ₹. Breakout above 1,376–1,400 ₹ could trigger recovery toward 1,430 ₹.

🎯 Optimal Entry Zone: 1,340–1,355 ₹ (near support).

🎯 Optimal Exit Zone: 1,375–1,430 ₹ (near resistance).

📉 Trend Status: The stock is consolidating with a bearish bias, awaiting breakout confirmation.

Positive

• EPS of 69.6 ₹ highlights strong earnings power.
• PEG ratio of 0.74 indicates attractive growth relative to valuation.
• DII holding increased by 1.15%, reflecting domestic institutional support.
• Quarterly PAT remains strong at 12,359 Cr., showing resilience despite slight decline.

Limitation

• Stock trading below both 50 DMA and 200 DMA shows weak technical strength.
• ROCE (7.61%) is modest compared to peers.
• Debt-to-equity ratio of 5.58 indicates high leverage.
• Dividend yield of 0.81% is modest, limiting passive income appeal.

Company Negative News

• FII holding decreased by -1.21%, showing reduced foreign investor confidence.
• Slight decline in quarterly PAT (12,359 Cr. vs 12,768 Cr.) indicates earnings pressure.

Company Positive News

• DII holding increased, reflecting domestic investor confidence.
• Quarterly profit variation of 5.22% highlights operational resilience.

Industry

• Industry PE at 14.7 is lower than ICICI Bank’s PE (19.6), suggesting relative overvaluation.
• Banking sector outlook remains stable with strong credit growth and digital adoption trends.

Conclusion

⚖️ ICICI Bank is fundamentally strong with solid EPS, attractive PEG ratio, and supportive DII inflows. However, technically the stock is consolidating below key averages with bearish signals from RSI and MACD. Entry is favorable near 1,340–1,355 ₹ with cautious exit around 1,375–1,430 ₹. Long-term investors may hold for sector stability, while short-term traders should wait for confirmation above 1,376 ₹.