LICI: Breakout Above 800 Targeting 1200Details:
Asset: Life Insurance Corporation of India (LICI)
Breakout Level: ₹800
Potential Targets: ₹1000 (intermediate), ₹1200 (major)
Stop Loss: ₹750
Timeframe: Medium to Long Term
Rationale:
LICI has broken out of a long-term descending channel and is now sustaining above ₹800, signaling a shift in momentum. The stock is now eyeing a move towards ₹1000 with strong potential for ₹1200.
Market Analysis:
Technical Setup: Channel breakout with consistent higher lows forming.
Fundamental Backdrop: Improving investor sentiment around insurance and PSU stocks.
Volume: Above average, confirming breakout strength.
Risk Management:
Stop Loss: ₹750 to manage downside risk.
Capital Allocation: Moderate exposure recommended due to long-term setup.
Risk-Reward Ratio:
Attractive with ~50% upside potential from breakout level.
Conclusion: LICI sustaining above ₹800 is a strong technical signal. As long as it holds this level, it can target ₹1000 and possibly ₹1200 in the coming months.
