IREDA Share Price Declines 5 Percent; Selling Pressure Pushes Stock to Half of Yearly Highs
IREDA (Indian Renewable Energy Dev Agency Limited) share price continued with its downward journey on Monday and the stock is currently available at half the price of its yearly highs. IREDA declined 5 percent in today's session and the stock touched intraday low at Rs 143.22. The stock is still looking weak on technical charts but Indian markets have witnessed recovery from lows today. At one time, NSE Nifty was even in the positive territory after hitting intraday low at 22,004. The mood in the markets is still bearish but we could see a relief rally any time now, considering the quick fall Indian equities have witnessed. IREDA and some of the popular PSU counters could also see recovery. However, investors and traders should be careful as some stocks could see selling on rallies, leading to further downside.
Stock Performance
IREDA's stock has exhibited notable volatility over the past year:
| Metric | Value |
|---|---|
| 52-Week High | Rs. 310.00 |
| 52-Week Low | Rs. 121.05 |
| Current Price (as of March 3, 2025) | Rs. 147.31 |
| Market Capitalization | Rs. 39,610 Crores |
| Price-to-Earnings (P/E) Ratio | 25.89 |
The stock's current price remains well below its 52-week high, reflecting recent corrections and investor caution in the renewable energy sector.
Technical Analysis
Candlestick Patterns Analysis
A review of IREDA’s daily candlestick chart indicates a bearish trend with the following patterns:
Descending Triangle Formation – A bearish continuation pattern suggesting increased selling pressure.
Bearish Engulfing Candles – Multiple instances indicate a potential for further downside.
If the stock fails to break key resistance levels, the downward momentum may persist in the short term.
Fibonacci Levels
Fibonacci retracement levels based on IREDA’s recent price movements:
| Fibonacci Level | Price (Rs.) |
|---|---|
| 0% (52-week low) | 121.05 |
| 23.6% Retracement | 165.00 |
| 38.2% Retracement | 190.00 |
| 50% Retracement | 215.00 |
| 61.8% Retracement | 240.00 |
| 100% (52-week high) | 310.00 |
Currently, the stock is trading below the 23.6% retracement level, indicating potential resistance at Rs. 165.00. A breakout beyond this level may signal a trend reversal.
Support and Resistance Levels
Key support and resistance levels for IREDA:
Immediate Support – Rs. 143.22 (recent intraday low)
Primary Resistance – Rs. 158.62 (recent intraday high)
Secondary Resistance – Rs. 177.34 (previous support turned resistance)
A break below support could trigger further declines, while overcoming resistance may indicate recovery potential.
With a bearish technical setup, mixed analyst opinions, and strong sector competition, investors should exercise caution before making new entries. Monitoring key support and resistance levels and tracking policy developments will be essential for evaluating future investment opportunities.
