Shares of multibagger Suzlon Energy stand above their short-term and long-term moving averages. This implies the stock has been in bullish zone in all time periods. However, the stock is still short of the overbought zone, signaling more upside to the green energy stock. RSI of the multibagger stock stood at 72.8. A RSI of 70 and above indicates the stock is trading in the overbought zone.
Suzlon Energy shares have delivered 259% returns in a year and gained 856% in two years. However, the multibagger's rally seems to have slowed down in the short term with the renewable energy stock falling 1.58% in the last one week.
Suzlon Energy shares ended 1.65% higher at Rs 78.84 on Friday. Market cap of the stock stood at Rs 1.07 lakh crore. The stock clocked a turnover of Rs 44.79 crore as 56.56 lakh shares changed hands on BSE in the previous session.
The stock has surged 271% from its 52-week low in the last one year. Suzlon Energy stock slipped to a 52-week low of Rs 21.26 on August 14, 2023. Suzlon Energy shares have a beta of 0.8, indicating low volatility in a year.
Mandar Bhojane,Research Analyst, Choice Broking said, "Suzlon is consistently forming new higher highs and higher lows, indicating a strong bullish trend. On the monthly chart, Suzlon has formed a significant rounding pattern, suggesting further potential upside. For investors holding Suzlon shares, it may be wise to continue holding with long-term targets of Rs 100 and Rs 140. Short-term traders might consider booking profits around Rs 85 and Rs 90 levels. To manage risk, investors should consider trailing their stop-loss to Rs 68, which is expected to act as immediate support. The Relative Strength Index (RSI) for Suzlon is currently at Rs 66, indicating there is still room for further upside. Given these technical indicators and current market conditions, buying on dips near the Rs 74 level could present a favorable entry point. The trade targets are set at Rs 85 and Rs 90 for the short term, and Rs 100 and Rs 120 for the long term. It is recommended to hold the position and trail the stop-loss at Rs 68 to mitigate potential risks."
Kushal Gandhi, Technical Analyst, StoxBox said, "Suzlon Energy is currently trading at a high valuation and is over 46% away from its mean on the weekly chart, suggesting a heightened likelihood of profit booking."
Pravesh Gour, Senior Technical Analyst, Swastika Investmart said, "From a technical perspective, the first resistance level will be around Rs 92, and above that a rally towards the psychological mark of Rs 100 could be expected. On the downside, Rs 70 will serve as the initial support zone, with 64, where the 20-day moving average is placed, acting as the major support level."
Aditya Agarwal, Head Derivatives & Technical at Sanctum Wealth said, "The long-term structure for Suzlon looks positive and stock has the potential to move towards Rs 94/102 levels in next few months. However, from short-term perspective stock, the stock is in overbought zone and is trading near its immediate resistance zone of Rs 80-82 and we expect some profit booking from those levels. Those who are already holding the stock can continue to hold with trailing stop loss of Rs 64 whereas for fresh entry Rs 70-68 is an ideal levels to add long positions.”
Suzlon Energy is a provider of renewable energy solutions. The company is a producer of wind turbines. It offers a range of solar energy solutions, such as solar irradiance assessment, land acquisition and approvals, infrastructure and power evacuation, supply chain, installation and commission and life cycle asset management.