LICI - Technical Analysis

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

Technical Rating: 3.2

Here’s a detailed technical analysis of Life Insurance Corporation of India (LICI) based on current indicators and price behavior

📊 Trend Overview

Current Trend: Bearish to Consolidating

Price Action: Trading below 50 DMA (₹913) and just above 200 DMA (₹888) — suggests weakening momentum with potential support test.

52W Index (36.3%): Price is far from its 52-week high (₹1,222), indicating a prolonged correction phase.

📈 Momentum Indicators

RSI (39.2): Bearish zone — signals weak momentum and limited buying interest.

MACD (-8.69): Negative — confirms bearish bias and lack of upward drive.

Volume: Below 1-week average — reflects reduced participation and low conviction.

📉 Volatility & Bands

Bollinger Bands: Price likely near lower band — suggests oversold conditions but not a confirmed reversal.

Volatility: Mild to moderate — price action is subdued, favoring consolidation.

📌 Support & Resistance Zones

Level Price (₹)

Immediate Support 880–888 (near 200 DMA)

Strong Support 850–860

Resistance 1 913 (50 DMA)

Resistance 2 940–960

Resistance 3 1,000+ (psychological zone)

🎯 Entry & Exit Zones

Optimal Entry: ₹880–₹899 (if price stabilizes near support)

Exit / Profit Booking: ₹940–₹1,000 (if price rebounds toward resistance)

🔍 Short-Term Signals

Momentum: Weak — RSI and MACD both suggest bearish undertone.

Trendline: Price hovering near long-term support — critical zone for trend confirmation.

Consolidation: Likely between ₹880–₹913 before any breakout attempt.

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