INDUSINDBK - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.3

📊 Chart Patterns: INDUSINDBK is trading between its 50 DMA (822 ₹) and 200 DMA (853 ₹), showing consolidation. Price action suggests sideways movement with support near 820 ₹ and resistance around 860–870 ₹.

📈 Moving Averages: Current price (840 ₹) is above the 50 DMA but below the 200 DMA, indicating short-term strength but medium-term weakness.

📉 RSI: At 49.4, RSI is neutral, suggesting balanced momentum without strong overbought or oversold signals.

📈 MACD: Positive (5.59) indicates bullish crossover, supporting short-term upward momentum.

📊 Bollinger Bands: Price is near the mid-band, suggesting consolidation with potential breakout if volume rises.

📊 Volume Trends: Current volume (15.8 lakh) is lower than 1-week average (25.4 lakh), showing reduced participation and lack of strong momentum.

📌 Momentum Signals: Mild bullish momentum; rebound possible if price sustains above 830 ₹.

🎯 Entry Zone: 830–845 ₹ (near support and DMA levels).

🎯 Exit Zone: 860–880 ₹ (near resistance trendline).

🔎 Trend Status: Consolidating with mild bullish bias.

Positive

• FII holdings increased (+0.64%), showing foreign investor confidence.
• Stock trading close to 50 DMA support, offering potential rebound zone.
• Strong 52-week performance (+48.8%) indicates investor interest despite recent weakness.

Limitation

• High debt-to-equity ratio (6.73) raises financial risk concerns.
• ROCE (6.49%) and ROE (4.15%) are weak compared to peers.
• EPS is negative (-7.64 ₹), showing lack of profitability.
• Volume participation is declining, limiting breakout potential.

Company Negative News

• Quarterly PAT turned negative (₹-445 Cr vs ₹684 Cr), showing sharp earnings deterioration.
• DII holdings decreased (-1.61%), reflecting reduced domestic institutional confidence.

Company Positive News

• FII inflows (+0.64%) highlight foreign investor support.
• MACD shows bullish crossover, suggesting short-term upward momentum.

Industry

• Industry PE at 14.7 is modest, but INDUSINDBK’s negative EPS makes valuation unattractive.
• Banking sector outlook remains positive with credit growth, though PSU and private banks face margin pressures.

Conclusion

⚖️ INDUSINDBK is consolidating near support levels with mild bullish signals from MACD. Traders may consider entry around 830–845 ₹ with exit near 860–880 ₹. Long-term investors should be cautious due to weak profitability, high leverage, and declining domestic institutional support, despite foreign inflows and sector growth potential.