Adani Power Sparks Bullish Reversal: SEBI RA Flags ₹580 Target After Key Breakout
Synopsis
The recovery follows a sharp technical breakdown earlier in June and comes alongside NCLT’s approval of Adani Power’s ₹4,000 crore acquisition of Vidarbha Industries Power.
Adani Power has entered a recovery phase after reclaiming key technical levels.
SEBI-registered analyst Anupam Bajpai stated that the stock witnessed a significant technical breakdown on June 18 when it closed below its 200-day moving average (DMA).
At the time of writing, shares of Adani Power were trading 1.95% higher at ₹589.45.
The analyst noted that it is a strong negative pattern, validated by a 2.6% fall on June 19, which added short-term supply-side momentum.
Bajpai, however, said that the stock’s support at the 100-DMA on June 20 set a base for Adani Power to reverse the downtrend.
On June 25, he observed a consolidation correction of the bearish gap closing above both the 200-DMA and 20-DMA to offer a bullish breakout with a double confirmation pattern.
Additionally, Bajpai pointed to a bullish crossover developing between the 5-day and 20-day moving averages as a potential leading indicator.
Increased volumes, he noted, will also confirm the breakout and the bullish case.
He has added immediate support at ₹540–₹545, coinciding with the 100-DMA. The short-term target for Adani Power stock is ₹580.
Last week, the National Company Law Tribunal (NCLT) approved Adani Power’s resolution plan for taking over Vidarbha Industries Power (VIPL) nder the Insolvency and Bankruptcy Code, 2016.
The consideration for the acquisition will be paid in cash with an upfront payment of ₹4,000 crore for 100% shareholding in the company.
VIPL is a coal-based power producer located in Nagpur, Maharashtra. Its turnover was ₹8.73 crore in FY24.
The acquisition will take Adani Power’s operating capacity to 18,150 MW.
On Stocktwits, retail sentiment was ‘bullish’ amid ‘normal’ message volume.
The stock has risen 11.9% so far in 2025.
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