Aditya Birla Capital - Stock in Focus for Your Trading

  • Stock Market Analysis

About the company:

Aditya Birla Capital Ltd (NS: ADTB ) is the holding company for the financial services businesses of the Aditya Birla Group. Its subsidiaries have a strong presence across protecting, investing, and financing solutions. The subsidiaries have a nationwide reach with 935+ branches and more than 2,00,000 agents/channel partners and several bank partners. The scrip is trading at a 21.6% discount to its 52-week high level. The 52-week high and 52-week low range is Rs 140 – Rs 76.

Technical observations:

One week time frame: (Chart 1)

On a weekly time frame, from the below chart, you can see that ABCL stock is trading in a Bullish Flag pattern. We can also see that the scrip has crossed the 50-day EMA line and is currently retesting an important resistance level of Rs 112. We expect to see higher levels in the stock supported by higher volumes. Relative Strength Index (or RSI) is above 50 and the Moving Average Convergence Divergence (or MACD) line is in process of crossing the signal line. It shows positive momentum on the share. Long-term investors can enter once the scrip crosses and sustains above Rs 112 level. They should maintain the stop loss at Rs 96 (previous swing low) on a weekly closing basis.

One day time frame: (Chart 2)

On a daily time frame, the scrip has made a Double Bottom formation. We can also see that in the current week, the share crossed an important resistance level of Rs 105, made a high of Rs 110, and then pulled back to a support level of Rs 105. It has bounced back and has now closed above the second resistance level of Rs 109. We anticipate the scrip to move higher aided by an increase in volumes. RSI is above 55 and the MACD line is above the signal line indicating positive momentum on the stock. Positional traders can enter at current levels. However, they should maintain the stop loss at Rs 105 on a daily closing basis.


We expect ABCL stock to maintain positive bias and head higher in subsequent trading sessions. Short-term traders can enter at current levels. However, they should keep a strict stop loss at Rs 106 on a daily closing basis.

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  • hardik kidrah @hardik kidrah
    The promoter is buying heavy quantity. Just go for it
    Like 2
  • Azhar Abdul @Azhar Abdul
    it can make 2 pole flags. if every thing goes positive.
    Like 1
  • Azhar Abdul @Azhar Abdul
    exactly. but market uncertainty can make diversion. however I in with long term.
    Like 1

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