KOTAKBANK - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 3.7

📈 KOTAKBANK is trending with mild bullish momentum and trading above key moving averages, though RSI and MACD suggest caution near resistance.

📊 Technical Analysis

• Trend: The stock is trending upward, trading above both 50 DMA (₹2,097) and 200 DMA (₹2,033), indicating bullish sentiment.
• Moving Averages: Price is above key averages, confirming upward momentum.
• RSI (45.5): Neutral zone, suggesting balanced momentum with potential for upside if it crosses 50.
• MACD (23.7): Positive crossover, indicating bullish momentum, though flattening trend suggests caution.
• Bollinger Bands: Price is near the middle band, indicating consolidation within an uptrend.
• Volume: Current volume (38.5L) is above 1-week average (32.3L), showing healthy participation.

Sources

MoneyControl

+2

🎯 Entry & Exit Zones

• Support Zone: ₹2,070 – ₹2,090 (recent base and 50 DMA)
• Resistance Zone: ₹2,150 – ₹2,180 (recent swing highs and psychological barrier)
• Optimal Entry: ₹2,090 – ₹2,115 (on pullback with RSI rising above 50)
• Exit Target: ₹2,180 – ₹2,220 (short-term breakout zone)

✅ Positive

• Strong ROE (15.4%) and EPS of ₹67.4 reflect solid profitability.
• PEG ratio of 1.29 suggests reasonable valuation for growth.
• DII holding increased by 2.41%, showing domestic institutional confidence.
• Price is near 52-week high with strong technical confirmation across indicators.

⚠️ Limitation

• RSI is below 50, indicating lack of strong momentum.
• MACD is flattening, suggesting potential slowdown in bullish momentum.
• High debt-to-equity ratio (4.42) typical for banks but still a risk factor.

📉 Company Negative News

• Quarterly PAT declined slightly from ₹3,282 Cr. to ₹3,253 Cr.
• FII holding decreased by 2.59%, indicating reduced foreign investor interest.

📈 Company Positive News

• Strong fundamentals and institutional accumulation support long-term value.
• Price action above moving averages suggests resilience and trend continuation.

🏦 Industry

• Industry P/E is 14.5, significantly lower than KOTAKBANK’s 31.4, suggesting relative overvaluation.
• Private banking sector is cyclical and influenced by interest rates, credit growth, and regulatory policies.

🧾 Conclusion

• KOTAKBANK is currently trending with mild bullish technical indicators and strong fundamentals.
• Short-term traders should monitor RSI and MACD for breakout confirmation above ₹2,150.
• Long-term investors may consider accumulating near ₹2,090 with a target of ₹2,220, maintaining stop-loss below ₹2,070.