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WIPRO - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.1

Last Updated Time : 24 May 26, 10:34 pm

Technical Rating: 4.1

Stock Code WIPRO Market Cap 2,13,130 Cr. Current Price 203 ₹ High / Low 273 ₹
Stock P/E 17.6 Book Value 60.7 ₹ Dividend Yield 5.42 % ROCE 23.9 %
ROE 19.2 % Face Value 2.00 ₹ DMA 50 202 ₹ DMA 200 227 ₹
Chg in FII Hold 0.10 % Chg in DII Hold -0.52 % PAT Qtr 3,037 Cr. PAT Prev Qtr 2,782 Cr.
RSI 58.9 MACD -1.00 Volume 4,26,52,368 Avg Vol 1Wk 2,37,70,454
Low price 186 ₹ High price 273 ₹ PEG Ratio 1.80 Debt to equity 0.13
52w Index 19.2 % Qtr Profit Var 3.91 % EPS 11.6 ₹ Industry PE 20.7

📊 Chart Patterns & Trend: WIPRO is trading above its 50 DMA (202 ₹) but below the 200 DMA (227 ₹), showing consolidation with mild bullish bias. Price action suggests sideways movement between 200–210 ₹ support and 225–230 ₹ resistance. Trend bias is neutral-to-positive.

📈 Moving Averages: Current price (203 ₹) is slightly above the 50 DMA but under the 200 DMA, signaling consolidation. Sustained trading above 210–215 ₹ could confirm bullish reversal.

⚖️ RSI: At 58.9, RSI is neutral-to-positive, suggesting balanced momentum with potential for upside.

📉 MACD: Slightly negative at -1.00, hinting at mild weakness but not strongly bearish.

📊 Bollinger Bands: Price is near the middle band, indicating consolidation. No clear breakout signal yet.

📦 Volume Trends: Current volume (4,26,52,368) is significantly higher than 1-week average (2,37,70,454), showing strong participation and institutional activity driving momentum.

🎯 Entry Zone: 200–205 ₹ (near support).

🚪 Exit Zone: 225–230 ₹ (near resistance and 200 DMA).

📌 Momentum Signal: Short-term consolidation with mild bullish undertone. A breakout above 227–230 ₹ could trigger fresh rally, while failure to hold 200 ₹ may lead to downside.


Positive

  • ✅ Strong ROCE (23.9%) and ROE (19.2%) reflect efficient capital use.
  • ✅ Dividend yield at 5.42% provides attractive income appeal.
  • ✅ PAT improved from 2,782 Cr. to 3,037 Cr. quarter-on-quarter.

Limitation

  • ⚠️ Current price below 200 DMA indicates medium-term weakness.
  • ⚠️ PEG ratio (1.80) highlights moderately expensive growth prospects.
  • ⚠️ EPS at 11.6 ₹ is modest compared to valuation.

Company Negative News

  • 📉 DII holdings decreased by 0.52%, showing reduced domestic institutional confidence.
  • 📉 Stock corrected from 52-week high (273 ₹) to current levels near 203 ₹.

Company Positive News

  • 📈 FII holdings increased by 0.10%, reflecting foreign investor support.
  • 📈 Quarterly profit variation at 3.91% highlights steady earnings growth.

Industry

  • 🏭 Industry PE at 20.7 indicates sector is moderately valued compared to WIPRO’s lower P/E (17.6).
  • 🏭 IT services sector outlook remains steady, supported by digital transformation and global demand.

Conclusion

🔎 WIPRO is in a consolidation phase with mild bullish bias. Entry near 200–205 ₹ offers favorable risk-reward, while resistance at 225–230 ₹ should be watched for exits. A breakout above 230 ₹ could trigger fresh upside momentum. Investors should monitor volume strength and institutional flows for confirmation of sustained rally.

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