IREDA - Technical Analysis

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

Technical Rating: 2.6

Here’s a sharp technical read on IREDA (Indian Renewable Energy Development Agency Ltd.), showing signs of tactical weakness but offering bounce-watch potential near key support

📉 Trend Analysis

Current Price ₹150 is well below both 50-DMA ₹164 and 200-DMA ₹175, which confirms short-term and intermediate-term downtrend.

From its high of ₹270, the stock has corrected ~45%, settling near a recent low of ₹137.

52-week index of 10.2% → heavy underperformance signals fading momentum.

🧭 Trend Status: Reversing downward, with a possible base building near support.

🧪 Momentum Signals

RSI (27.2): Deep in oversold territory → bounce potential, but recovery still unconfirmed.

MACD (-4.32): Strong negative divergence → bears maintain control.

Volume (87.1L) > Avg (65.1L): High volume, possibly from panic selling or early accumulation near support.

📈 Bollinger Bands Insight

Price is likely pressing against the lower band, intensifying oversold conditions.

No evidence of a volatility squeeze yet, but sharp moves could emerge from current levels.

🧭 Support & Resistance Zones

Zone Type Price Zone (₹) Insights

Support 137 – 145 Prior swing low and volume-heavy zone

Resistance 160 – 165 Clustered near 50-DMA and psychological hurdle

Breakout Zone 175+ Only a close above 200-DMA with strong volume signals a trend reversal

🎯 Trade Setup

Entry: ₹144–₹150 (oversold entry range near support)

Exit: ₹160–₹165 (resistance cluster near DMA)

Stop Loss: ₹136 (just below swing low)

📌 Conclusion

IREDA is technically weak but extremely oversold, creating potential for a short-term tactical bounce.

Downtrend remains active — only confirmed reversal above ₹175 will signal re-entry into bullish territory.

Recent volume spike suggests interest, but traders should wait for MACD convergence and RSI > 40 before chasing upside.

If you’d like, I can compare IREDA’s chart with other green financing stocks or solar sector plays to check if the sector sentiment is dragging it down or setting up a rally. Just tap the sun ☀️📊

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