SBIN - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:55 pm

Technical Rating: 4.2

📈 Chart & Trend Analysis:

SBIN is trading at ₹980, above both its 50 DMA (₹941) and 200 DMA (₹861), confirming a strong bullish trend. RSI at 59.9 indicates healthy momentum, close to overbought territory but still supportive of upside. MACD at 6.19 is positive, confirming bullish continuation. Price is near its 52-week high (₹999), showing strong resistance at current levels. Bollinger Bands suggest price is near the upper band, reflecting strong buying interest. Current volume (55.2 lakh) is slightly below the weekly average (59.0 lakh), indicating moderate participation.

🔑 Momentum Signals:

- RSI near 60 shows strong momentum, close to overbought zone.

- MACD positive, confirming bullish continuation.

- Price above both DMAs signals trend strength.

- Volume slightly below average, showing cautious accumulation.

🎯 Entry & Exit Zones:

- Support: ₹940 – ₹950 (near 50 DMA).

- Resistance: ₹995 – ₹1,000 (recent high).

- Optimal Entry: ₹960 – ₹975 range on dips.

- Exit/Profit Booking: ₹995 – ₹1,000 unless breakout occurs.

📊 Trend Status:

The stock is trending upward with strong bullish signals. Sustained momentum above ₹1,000 could trigger a breakout to new highs.

Positive

• Price trading above both 50 DMA and 200 DMA.
• EPS at ₹83.1 reflects strong earnings base.
• Dividend yield at 1.63% provides income return.
• DII holdings increased (+2.11%), showing strong domestic investor confidence.
• FII holdings increased (+0.24%), reflecting foreign investor support.

Limitation

• RSI near overbought zone, risk of short-term correction.
• Quarterly PAT declined to ₹16,666 Cr from ₹19,160 Cr.
• ROCE at 6.37% is modest compared to peers.
• Debt-to-equity ratio at 12.0 indicates high leverage typical of banks.

Company Negative News

• Quarterly profit variation at -9.09% shows weak momentum.
• High leverage may limit financial flexibility.

Company Positive News

• DII inflows (+2.11%) highlight strong domestic support.
• FII holdings increased (+0.24%), showing foreign investor confidence.
• Stock trading near 52-week high (₹999), reflecting strong momentum.

Industry

• Industry P/E at 7.89, SBIN trades at a premium valuation (P/E 12.8).
• Banking sector showing cyclical demand recovery.
• Peers trade at lower multiples, making SBIN relatively expensive but backed by strong fundamentals.

Conclusion

🚀 SBIN is in a bullish trend with strong technical signals. Entry near ₹960–₹975 offers favorable risk-reward, while resistance at ₹995–₹1,000 is the key breakout zone. Strong fundamentals and investor support back the trend, but high leverage and near-overbought RSI warrant cautious positioning near highs.