- Summary:
- Suzlon share price has gained more than 112 percent this year, and its healthy order book and Renom Energy acquisition brings Rs 100 closer.
Suzlon Energy share price rose to the fourth 52-week highs in four sessions as it gained 2.1 percent to hit Rs 84.29, before easing to Rs 79.20 at the time of writing. The stock’s hot streak has seen it gain 48.5 percent in the last month, and 112.2 percent year-to-date. Furthermore, some analysts now opine that it could rise to Rs 100 by the end of the year. Notably, Suzlon Energy (NSE: SUZLON) has spent the most part of the last three weeks in the overbought territory, and this also predisposes it to the risk of a potential selloff in the coming days.
That said, the company’s fundamentals are strong, with a healthy order book and a recent approval of its 76 percent stake acquisition in Renom Energy Services. Therefore, while a correction is not out of the question, the strong fundamentals mean that the Rs 100 price target in the second half is not unrealistic.
Momentum indicators
The momentum on Suzlon share price is bullish as shown by the indicators on the 2-hour chart. The price is currently above the 20, 50,100 and 200 Simple Moving Averages. Furthermore, the 20-SMA is above all the SMAs, adding support to the bullish view. Also, the RSI on the share price is at 61, which also aligns with the upward momentum.
Support and resistance levels
Suzlon energy share price will likely continue with the upside if the buyers keep it above the 80.00 mark. With the buyers in control, the first resistance could come at 81.90. However, extended control could see them break above that mark and potentially test 84.42. Conversely, the sellers could take control if the price breaks below 80.00. In that case, the first support could come at 78.20. However, further control could extend the bearish momentum to breach that mark, resulting in the invalidation of the upside narrative. Also, it could strengthen the downside momentum for the share price to test 76.30.
