Adani Energy Solutions Ltd Faces Technical Momentum Shift Amid Market Volatility

Price Performance and Market Context

The stock opened at ₹925.00 and touched a high of ₹925.10 before falling to a low of ₹804.70 during the trading session. This intraday volatility highlights the prevailing uncertainty among traders. Over the past week, Adani Energy Solutions has declined by 10.29%, significantly underperforming the Sensex’s modest 2.43% drop. The one-month and year-to-date returns are even more concerning, with losses of 18.16% and 20.89% respectively, compared to the Sensex’s declines of 4.66% and 4.32% over the same periods.

Longer-term returns paint a more nuanced picture. While the stock has delivered an impressive 70.65% gain over five years and an extraordinary 2,359.97% over ten years, it has lagged the Sensex’s 33.80% three-year gain, indicating recent challenges in maintaining momentum. The 52-week high of ₹1,067.30 and low of ₹639.35 further illustrate the stock’s wide trading range amid volatile market conditions.

Technical Trend Shift: From Mildly Bullish to Sideways

Adani Energy Solutions’ technical trend has shifted from mildly bullish to sideways, signalling a loss of upward momentum. This transition is corroborated by several key technical indicators that reveal a complex and somewhat contradictory picture.

The Moving Average Convergence Divergence (MACD) indicator shows a mildly bearish stance on the weekly chart, suggesting weakening momentum in the short term. However, the monthly MACD remains mildly bullish, indicating that the longer-term trend may still hold some positive bias. This divergence between weekly and monthly MACD readings suggests that while short-term traders are cautious, longer-term investors might still find some support.

The Relative Strength Index (RSI) offers no clear signal on either weekly or monthly timeframes, hovering in a neutral zone. This lack of directional momentum in RSI implies that the stock is neither overbought nor oversold, reinforcing the sideways trend narrative.

Bollinger Bands and Moving Averages Signal Bearish Pressure

Bollinger Bands on both weekly and monthly charts are bearish, indicating increased volatility and a tendency for the price to trade near the lower band. This suggests selling pressure and potential continuation of the downward price movement in the near term.

Conversely, daily moving averages remain mildly bullish, hinting at some short-term support levels that could prevent a sharper decline. This mixed signal from moving averages and Bollinger Bands underscores the stock’s current technical uncertainty.

Additional Technical Indicators: KST, Dow Theory, and OBV

The Know Sure Thing (KST) indicator presents a mildly bearish signal on the weekly chart but remains mildly bullish on the monthly chart. This again reflects short-term weakness contrasted with longer-term resilience. Dow Theory analysis aligns with this, showing a mildly bearish weekly trend and no clear trend on the monthly timeframe, further emphasising the sideways momentum.

On-Balance Volume (OBV), a volume-based indicator, is mildly bearish weekly but mildly bullish monthly. This suggests that while recent trading volumes have favoured sellers, the broader accumulation trend over months may still be positive, hinting at potential support from institutional investors or long-term holders.

Mojo Score and Grade Downgrade

MarketsMOJO has downgraded Adani Energy Solutions’ Mojo Grade from Strong Sell to Sell as of 8 Jan 2026, reflecting a slight improvement but still signalling caution. The Mojo Score stands at 42.0, a low rating that indicates weak technical and fundamental health. The Market Cap Grade is 1, the lowest possible, underscoring concerns about the company’s valuation and market standing within the power sector.

This downgrade suggests that while the stock may have stabilised somewhat from its previous extreme bearish rating, it remains a risky proposition for investors seeking stability or growth in the near term.

Sector and Industry Context

Operating within the power sector, Adani Energy Solutions faces sector-wide challenges including regulatory pressures, fluctuating energy demand, and rising input costs. These factors, combined with the stock’s technical signals, suggest that investors should approach with caution. The stock’s underperformance relative to the Sensex and sector peers over recent weeks highlights the need for careful risk management.

Investor Takeaway

Adani Energy Solutions Ltd’s recent technical momentum shift from mildly bullish to sideways, coupled with a steep price decline and mixed indicator signals, paints a cautious picture for investors. The weekly bearish signals in MACD, Bollinger Bands, KST, and OBV contrast with mildly bullish monthly indicators, suggesting that while short-term pressures persist, longer-term support may exist.

However, the significant underperformance relative to the Sensex and the downgrade in Mojo Grade to Sell indicate that the stock remains vulnerable to further downside. Investors should closely monitor daily moving averages and volume trends for signs of stabilisation or renewed strength before considering new positions.

Given the power sector’s inherent volatility and regulatory risks, a conservative approach is advisable. Diversification and consideration of alternative stocks with stronger technical and fundamental profiles may better serve portfolio resilience in the current environment.

Summary of Key Technical Metrics:

• Current Price: ₹814.25 (down 11.97% on 27 Jan 2026)


• 52-Week Range: ₹639.35 - ₹1,067.30


• MACD: Weekly Mildly Bearish, Monthly Mildly Bullish


• RSI: Neutral on Weekly and Monthly


• Bollinger Bands: Bearish on Weekly and Monthly


• Moving Averages: Daily Mildly Bullish


• KST: Weekly Mildly Bearish, Monthly Mildly Bullish


• Dow Theory: Weekly Mildly Bearish, Monthly No Trend


• OBV: Weekly Mildly Bearish, Monthly Mildly Bullish


• Mojo Score: 42.0 (Sell, downgraded from Strong Sell)


• Market Cap Grade: 1 (lowest)

Investors should weigh these technical signals alongside fundamental factors and broader market conditions when making investment decisions regarding Adani Energy Solutions Ltd.

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