IIFL Finance Limited (IIFL) Stock - Complete Technical Analysis - Nov 21, 2024

IIFL Finance Technical Analysis: Stock Support, Resistance & Trend Insights

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.

IIFL Finance Limiteds stock price has been on a rollercoaster, trading at 408.20, which is notably lower than its 52-week high of 653.35, indicating a significant drop in price. However, its 34% higher than its 52-week low, showing some strength in the recent rebound. The stocks P/E of 44.8 and book value of 152 suggest a premium valuation, which could make investors wary unless growth prospects continue to impress. The Relative Strength Index (RSI) at 36.2 is approaching the oversold zone, which could mean a reversal is on the horizon.

Looking at the short-term technicals, the stock is currently facing resistance at the 20-day exponential moving average (EMA), which is at 432.48. If the stock fails to break through this level, it may continue to consolidate or face further declines. On the flip side, support appears strong near 391, with multiple tests of this level in recent trading days. With volatility, as indicated by the ATR, traders should expect larger price swings.

For short-term trades, the stocks momentum is currently negative, but with an RSI close to oversold conditions, theres a possibility of a bounce at key support levels. On the downside, the Fibonacci levels also highlight critical support around 400, which could act as a buffer before a major drop. Watch for any signs of reversal or breakout, particularly around 432 resistance and 391 support, to set up trades with higher probability.