IIFL - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 19 Sept 25, 2:16 pm

Technical Rating: 3.7

Here’s a detailed technical analysis of IIFL Finance Ltd (IIFL)

📊 Trend Overview

Phase: Consolidating with weak momentum

Price Action: Trading near the 50-DMA (₹454) and slightly above the 200-DMA (₹434), indicating indecision and lack of trend strength.

Volume: Above average (15.4L vs 8.9L), suggesting recent activity but not necessarily bullish conviction.

📈 Momentum Indicators

RSI (50.4): Neutral zone — no strong momentum, indicating sideways movement.

MACD (-5.02): Negative and diverging — signals bearish undertone and lack of short-term momentum.

Bollinger Bands: Price likely near the middle band, consistent with consolidation and low volatility.

🧭 Chart Patterns

Descending Channel: Price has been declining from ₹561 highs, forming lower highs and lower lows.

Base Formation Attempt: Stabilization near ₹440–₹450 zone suggests potential bottoming, but confirmation is needed.

🔍 Support & Resistance Levels

Level Price (₹) Commentary

Support 1 434 200-DMA, long-term support

Support 2 420 Previous swing low

Support 3 400 Psychological level

Resistance 1 454 50-DMA, immediate ceiling

Resistance 2 475 Minor resistance zone

Major Resistance 500 Breakdown zone from prior support

🎯 Entry & Exit Zones

Optimal Entry: ₹435–₹445 (on dips with reversal confirmation)

Short-Term Target: ₹475–₹500

Exit Zone / Stop-Loss: ₹420 (below swing support)

🔄 Short-Term Outlook

Momentum: Weak and bearish

Bias: Bearish below ₹454; neutral-to-bullish only above ₹475

Phase: Consolidating — awaiting breakout or breakdown

🧠 Key Takeaways

IIFL is hovering near key moving averages with weak momentum indicators.

RSI and MACD confirm indecision, while price action near support zones hints at potential base-building.

A breakout above ₹475 with volume could confirm trend reversal and open upside toward ₹500.

Let me know if you’d like a chart visualization or screener of similar financial sector setups.

Edit in a page