Shares of Suzlon Energy have seen a consolidation in the short term. The multibagger stock has been trading in a narrow range since August 12. The movement between Rs 75 and Rs 80 till date has also seen the multibagger stock hitting fresh 52 week high of Rs 84.40 on August 13. However, the stock being stuck in a range for 60% of trading days could not prevent it from rising 11.11% in the last month.
In the current session, Suzlon Energy shares rose 3.11% to Rs 76.49 against the previous close of Rs 74.18 on BSE. Market cap of the green energy firm stood at Rs 1.03 lakh crore on BSE. Suzlon Energy stock climbed 220% in a year and gained 678% in two years.
The green energy stock clocked a turnover of Rs 30.61 crore as 40.60 lakh shares changed hands on BSE in today’s session. The stock has surged 248% from its 52-week low in the last one year. Suzlon Energy stock slipped to a 52-week low of Rs 21.71 on September 13, 2023. Suzlon Energy shares have a beta of 0.8, indicating low volatility in a year.
KKunal V Parar, VP of Technical Research and Algo, Choice Broking said, "On the daily chart, the stock is currently forming a Flag pattern, which is a bullish continuation formation. However, it's crucial to wait for a breakout from this Flag pattern before taking any action. Historically, the stock has shown significant price jumps following periods of consolidation and subsequent breakouts. A similar movement can be anticipated if the stock breaks out of the current Flag pattern. Additionally, the stock is trading above all its long-term moving averages, indicating a positive trend. The daily momentum indicator, RSI, also shows strong support around the Rs 55 level, suggesting potential for a bounce-back. Given the above technical structure, we expect a strong upside move if the stock breaks out of the Flag formation, potentially reaching levels between Rs 100 and Rs 113. On the downside, the stock has strong support around the Rs 70 level."
Jigar S Patel, Anand Rathi said, "Over the past 20 days, Suzlon has been trading within a narrow range, fluctuating between the Rs 75-80 levels, and is currently positioned around the Rs 76 mark. This period of consolidation suggests indecision among traders, with neither bulls nor bears taking decisive control. On the hourly chart, the Relative Strength Index (RSI) has been consistently forming lower tops over the last 16 days, signalling weakening momentum and indicating the potential for a further decline in the stock price. As we look ahead, the levels around Rs 73-72 emerge as a key support zone that could provide a strong foundation for the stock. Given this setup, a prudent approach would be to adopt a 'wait and watch' strategy, holding off on any action until Suzlon tests this crucial support zone."
Shares of Suzlon Energy are trading above their 30 day, 50 day, 100 day, 150 day, 200 day but lower than the 5 day, 10 day, and 20 day moving averages.
The stock's RSI stands at 52.8 signaling its neither in the overbought nor in the oversold zone. A RSI of 70 and above indicates the stock is trading in the overbought zone. A RSI of 30 and below indicates the stock is trading in the oversold zone.
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.