Adani Green Energy Share Price Closes Near 52-week Lows; Immediate Support at Rs 870
Adani Green Energy stock tumbled 3.47 percent on Friday and the stock is currently trading near its 52-week lows. The stock has declined 10 percent over the last one month. Adani Group stocks have been news-driven during the last couple of years. The higher volatility in Adani stocks has attracted day traders in these counters. TopNews has reviewed technical charts for Adani Green Energy.
Stock Performance Overview
Adani Green Energy's stock has experienced significant price movements over the past 52 weeks, reflecting both market sentiment and sectoral trends.
| Stock Parameter | Value |
|---|---|
| Open | Rs 920.00 |
| High | Rs 923.65 |
| Low | Rs 873.00 |
| Market Capitalization | Rs 1.40LCr |
| P/E Ratio | 111.68 |
| Dividend Yield | - |
| 52-Week High | Rs 2,174.10 |
| 52-Week Low | Rs 870.25 |
Adani Green Energy Withdraws from Sri Lanka Wind Power Project, Issues Clarification
Adani Green Energy Ltd. (AGEL) has addressed recent reports suggesting its withdrawal from a wind power project in Sri Lanka. In an official statement, the company clarified that while one of its subsidiaries had previously expressed interest in developing wind power and transmission infrastructure projects in the country, it has now decided to step away from these initiatives.
No Binding Agreements Were Signed
Adani Green Energy confirmed that a subsidiary had conducted preliminary studies for potential wind power projects in Sri Lanka. However, the company emphasized that no definitive agreements had been executed either by AGEL or its subsidiary. Following careful consideration, the firm has opted to withdraw from further engagement with these projects.
Commitment to Sri Lanka Remains Intact
Despite the decision to exit these specific ventures, Adani Green reaffirmed its commitment to Sri Lanka and expressed its willingness to collaborate in the future, should the Sri Lankan government seek its involvement. The company maintains a long-term view of energy investments in the region and remains open to new opportunities.
Fibonacci Retracement Levels
Fibonacci retracement levels provide a key technical indicator for potential support and resistance areas. The levels are calculated based on the 52-week high and low.
| Fibonacci Level | Price (Rs) |
|---|---|
| 0% (52-Week Low) | Rs 870.25 |
| 23.6% Retracement | Rs 1,151.68 |
| 38.2% Retracement | Rs 1,325.10 |
| 50% Retracement | Rs 1,522.18 |
| 61.8% Retracement | Rs 1,719.26 |
| 78.6% Retracement | Rs 1,965.02 |
| 100% (52-Week High) | Rs 2,174.10 |
Candlestick Pattern Analysis
The recent candlestick patterns suggest that Adani Green Energy is experiencing consolidation near its lower range, with some bullish reversal indications:
- A Hammer pattern was observed near Rs 880, indicating strong buying interest at lower levels.
- The stock is forming a Descending Triangle, which could either result in a breakout or further downside if support is breached.
- A recent **Bullish Engulfing** pattern suggests renewed buying pressure, signaling potential upward movement.
Support and Resistance Levels
Key support and resistance levels for the stock:
| Level | Price (Rs) |
|---|---|
| Major Support Level 1 | Rs 870 |
| Major Support Level 2 | Rs 825 |
| Resistance Level 1 | Rs 1,100 |
| Resistance Level 2 | Rs 1,250 |
Investment Strategy and Key Takeaways
Based on the technical and fundamental analysis, investors should consider the following factors before making a decision:
Long-Term Investors: Given its leadership position in renewable energy, Adani Green remains a strong long-term bet. However, patience is required as short-term volatility persists.
Short-Term Traders: The Fibonacci resistance zone of Rs 1,195 – Rs 1,400 provides an ideal entry point for momentum traders, with a stop-loss below Rs 870.
Risk Factors: High valuation, regulatory changes, and sector-specific risks should not be ignored.
