HDFC Bank Limited (HDFCBANK) Stock - Complete Technical Analysis - Oct 14, 2024

HDFC Bank Stock Analysis: Key Support & Resistance Levels Revealed

Disclaimer: This analysis is for informational purposes only and should not be considered financial advice. Investing in stocks involves risks, and it's essential to conduct thorough research or consult with a financial advisor before making investment decisions. HDFC Bank Limited is currently trading at 1,688, which is approximately 5.90% below its recent 52-week high of 1,794 reached on July 3, 2024, and 23.80% above its 52-week low of 1,363.55 recorded on February 14, 2024. The stock has exhibited some volatility, especially in the past week, where we noticed a sudden price surge to a high of 1,692.05 today, following a lower close of 1,651 on October 11. The recent open-high-low-close patterns indicate a potential upward trend, especially after touching a recent low of 1,654.

Analyzing key technical indicators, we find the RSI at 51.73, suggesting that the stock is neither overbought nor oversold, which aligns with the current trading price. The MACD is negative, indicating that the momentum is bearish, but with the ADX at 30.59, it reflects a strong trend. The stochastic oscillator shows a reading below 40, suggesting that the stock might be approaching an oversold condition. The classic pivot points suggest significant resistance around 1,714, which could pose a hurdle for any further upward momentum.

The presence of multiple EMAs, with the 50-day EMA at 1,665 indicating support, may act as a stabilizing factor for the stock. If the stock manages to close above the pivot level of 1,714, it could attract more buyers, potentially leading to a bullish reversal. Traders should watch for volume changes to confirm any breakout signals, as the markets volatility may lead to sharp price reversals.

Overall, HDFC Bank shows a mixed technical outlook with a tendency for volatility. The immediate support appears to be at 1,654, while the resistance level around 1,714 will be critical for determining future price movement. This creates an interesting scenario for traders looking for entry points based on breakout strategies.