IndiGo Stock: Symmetric Triangle Breakout & Growth Prospects
Technical Analysis:
IndiGo stock has been in an uninterrupted uptrend since ₹900, reaching ₹5,000 over time. The stock had been in a range-bound situation since early 2024, forming a symmetric triangle pattern marked by higher lows and lower highs.
On January 24, the company released its Q3 FY25 financial results, and the stock began to demonstrate gradual price appreciation, with a higher lows pattern. Yesterday, the breakout in the symmetric triangle was confirmed, indicating bullish strength.
For volume confirmation, on February 28, the stock had 2.13 million in volume, which was the highest bullish volume in six months (since September 2024). With this breakout, the next resistance levels to watch are:
On the risk management front, stop-loss levels are important:
Despite the stock being bullish, these levels need to be kept in mind to effectively manage risk.
Fundamental Analysis:
IndiGo announced robust Q3 FY25 financial performance, supporting its growth story. Following are the key financial highlights (values in ₹ crore):
IndiGo's topline and bottom line have had a good sequential and year-on-year growth, affirming firm demand and efficient cost control.
Conclusion:
With a bullish breakout, strong financial performance, and high trading volumes, IndiGo stock is promising for long-term gains. If the stock can hold up over key resistance levels, it can go on to its all-time high. Traders, however, need to keep an eye on stop-loss levels to control risks effectively.
Disclaimer: This study is for educational purposes only. Investors are advised to do their own research before making any trading decisions.
IndiGo stock has been in an uninterrupted uptrend since ₹900, reaching ₹5,000 over time. The stock had been in a range-bound situation since early 2024, forming a symmetric triangle pattern marked by higher lows and lower highs.
On January 24, the company released its Q3 FY25 financial results, and the stock began to demonstrate gradual price appreciation, with a higher lows pattern. Yesterday, the breakout in the symmetric triangle was confirmed, indicating bullish strength.
For volume confirmation, on February 28, the stock had 2.13 million in volume, which was the highest bullish volume in six months (since September 2024). With this breakout, the next resistance levels to watch are:
- ₹4,725 – First target
- ₹5,035 – All-time high target
On the risk management front, stop-loss levels are important:
- ₹4,421 – First stop-loss (candle low)
- ₹4,325 – Potential higher low support
Despite the stock being bullish, these levels need to be kept in mind to effectively manage risk.
Fundamental Analysis:
IndiGo announced robust Q3 FY25 financial performance, supporting its growth story. Following are the key financial highlights (values in ₹ crore):
- Total Income: ₹22,111 in Q3 FY25 (up from ₹19,452 in Q3 FY24 and ₹14,944 in Q2 FY25)
- Total Expenses: ₹17,701 in Q3 FY25 (up from ₹15,918 in Q3 FY24 and ₹13,675 in Q2 FY25 on account of expansion of operations)
- Profit Before Tax: ₹4,410 in Q3 FY25 (up from ₹3,534 in Q3 FY24 and considerably higher than ₹1,269 in Q2 FY25, reflecting robust sequential growth)
- Profit After Tax: ₹2,449 during Q3 FY25 (versus ₹2,998 during Q3 FY24 but markedly better than ₹189 during Q2 FY25)
IndiGo's topline and bottom line have had a good sequential and year-on-year growth, affirming firm demand and efficient cost control.
Conclusion:
With a bullish breakout, strong financial performance, and high trading volumes, IndiGo stock is promising for long-term gains. If the stock can hold up over key resistance levels, it can go on to its all-time high. Traders, however, need to keep an eye on stop-loss levels to control risks effectively.
Disclaimer: This study is for educational purposes only. Investors are advised to do their own research before making any trading decisions.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.