Adani Green shares: Will 2-month consolidation end? Here's target price

Shares of Adani Green Energy Ltd spent the past two months oscillating within a broad consolidation band between Rs 998, aligned with the 100-month moving average, and Rs 1,172, near the 20-month moving average. Systematix Shares and Stocks (India) believes this range-bound phase reflected a period of equilibrium with long-term support remaining intact.

Systematix noted that the stock is currently positioned near the lower end of this band and has begun to show renewed strength and accumulation. A key trigger, it said, was the bullish breakout of a Symmetrical Triangle around Rs 1,042, following more than nine weeks of consolidation near a defined neckline. The clean breakout signalled a shift from consolidation to the possibility of a fresh trending move.

The brokerage highlighted supporting price action across timeframes: the stock on Monday closed 1.66 per cent higher on the daily chart, while the weekly chart showed a 1.72 per cent gain. Systematix said this indicated sustained buying interest. 

The weekly candle also formed a long lower shadow resembling a bullish Hammer, which the brokerage viewed as evidence of aggressive buying from lower levels and consistent defence of support.

Systematix pointed out that this bullish candlestick formed near the 20-week simple moving average around Rs 1,020 and immediately above the triangle neckline, creating what it termed a reinforced demand cluster. It added that downside vulnerability appeared limited due to this convergence of supports. 

"The historical unfilled gap between Rs 993 and Rs 1,013 had also acted as a strong demand zone, with repeated reversals in the past — a structural support pocket the brokerage considered significant," it said.

A trend breakout was also visible near Rs 1,046 on the daily chart, further confirming strengthening momentum, Systematix said.

Systematix Shares and Stocks (India) assessed that Adani Green remained well-positioned for further upside as long as it sustained above Rs 990. It set upside targets at Rs 1,110 and Rs 1,170.