HDFC Bank shares at sub-Rs 700 level? Technical charts hint at more downside

HDFC Bank Ltd on Monday plunged to its fresh 52-week high, with the stock losing 25 per cent of its value in 2026 so far. Technical charts suggested the stock has entered oversold territory, but analysts indicated that further downside on the counter could not be ruled out.    

On Monday, the scrip hit a fresh 52-week low of Rs 744, and was later trading 4.40 per cent lower at Rs 746.10. Vaishali Parekh, Vice President — Technical Research at Prabhudas Lilladher said the HDFC Bank stock has broken below its near-term support of Rs 800 and the next support comes in near Rs 720-680 levels. "If the Nifty decisively breaks below 22,500, all the frontline stocks may take a hit. HDFC Bank may not be an exception," She told Business Today.

The HDFC Bank stock has slipped below its 100-day and 200-day moving averages, indicating a clear weakening of the overall trend and increasing the probability of further downside. 

"Additionally, a key weekly support level at Rs 805 has been breached, which further strengthens the bearish outlook for the counter. On the momentum front, the weekly RSI stands at 20.95, placing it in a deeply oversold zone. However, given the prolonged downtrend, this may not immediately signal a reversal and could still allow for further downside movement," KKunal V Parar, VP of Technical Research and Algo at Choice Broking.

Parar said the stock may continue to witness pressure towards the Rs 705–695 zone, which aligns with a strong historical support area formed in February 2024. This region could act as a potential demand zone for the stock, he said.

HDFC Bank shares have seen sharp fall of late. The fresh fall came as the part-time chairman and independent director Atanu Chakraborty resigned, stating that certain happenings and practices observed over the last two years were not in alignment with his personal values and ethics. He later clarified that there are no other material reasons for his resignation and did not attribute the decision to any wrongdoing by the bank.