Torrent Power share price closed 2 percent higher at Rs 1,499 on Friday. The stock is currently looking bullish on technical charts. Torrent Power touched intraday high at Rs 1,504 and low at Rs 1,455. The stock could continue with the strong momentum if the markets remain positive. TopNews Team has reviewed the technical charts for Torrent Power for short term investors and traders.

Fundamental Snapshot: Where Torrent Power Stands

Current Market Price: ₹1,499
Market Cap: ₹746.32 billion
52-Week Range: ₹1,207.25 – ₹2,037.00
P/E Ratio: 30.62
Dividend Yield: 1.20%

Analyst Sentiment: Cautious Optimism with ₹1,600 Target

ICICI Direct recently issued a ‘Buy’ recommendation on Torrent Power, setting a target price of ₹1,600 (as of March 2024). The brokerage highlighted the company’s robust project pipeline, improving return ratios, and consistent EBITDA growth as key positives.

This bullish outlook is tempered by concerns around regulatory headwinds and potential tariff revisions. However, the 9% upside from current levels, combined with a stable dividend payout, makes the stock attractive for medium-term investors.

Candlestick Pattern Analysis: Doji Signals Reversal Possibility

On the daily chart, Torrent Power recently formed a Doji candlestick—typically a signal of market indecision and potential reversal when found at support levels. The stock has tested a key demand zone between ₹1,450–₹1,460 several times over the past week, without breaching it decisively.

Key Insight: If the next trading session confirms a bullish candle above ₹1,480, it could mark a short-term upward reversal, potentially targeting ₹1,520–₹1,550 levels in the near term.

Fibonacci Retracement Levels: Mapping Potential Rebounds

Using the recent swing high of ₹2,037 and swing low of ₹1,207:

Interpretation: The current price hovers near the 38.2% retracement, suggesting that a move past ₹1,566 could accelerate gains toward the ₹1,620–₹1,680 range. Strong resistance lies around the 61.8% mark.

Support and Resistance Analysis: Tightly Coiled Setup

The stock has been rangebound, but with tightening Bollinger Bands and decreasing volatility, a breakout appears imminent. Volume trends also suggest accumulation at lower levels.

Bottomline: Strategic Entry for Medium-Term Gains

Torrent Power presents an intriguing blend of value and momentum potential. With the stock currently hovering near critical technical levels and a recent analyst target suggesting modest upside, it becomes a compelling candidate for medium-term portfolios.

Investors with a moderate risk appetite could consider accumulating the stock near the ₹1,460–₹1,480 range, with stop-loss at ₹1,420 and targets between ₹1,600–₹1,680. For long-term holders, Torrent Power remains a steady compounder in the Indian energy transition narrative.