Adani Power Gains 4.22%: 4 Key Factors Driving the Week’s Momentum

29 December 2025: Week Opens with a Slight Decline

Adani Power commenced the week at Rs.140.65, registering a decline of 1.06% from the previous close. This drop occurred alongside a broader market retreat, with the Sensex falling 0.41% to 37,140.23. The stock’s volume was moderate at 5.84 lakh shares, reflecting cautious investor sentiment amid year-end trading. Despite the negative start, the stock remained above key short-term moving averages, suggesting underlying support.

30 December 2025: Strong Intraday Surge Signals Rebound

On 30 December, Adani Power rebounded sharply, gaining 2.88% to close at Rs.144.70. The stock hit an intraday high of Rs.145.20, marking a 3.16% surge from the prior close. This performance outpaced the Sensex, which marginally declined by 0.01%, and the power sector, highlighting the stock’s relative strength. The rebound followed three consecutive days of declines in the prior week, signalling a positive shift in momentum. Technical indicators showed the stock trading above its 5-day and 20-day moving averages, though resistance near the 50-day average persisted.

31 December 2025: Minor Pullback Amid Broader Market Strength

The stock experienced a slight correction on 31 December, closing at Rs.143.00, down 1.17% on the day. This decline contrasted with a strong Sensex gain of 0.83%, which closed at 37,443.41. Volume dipped to 10.22 lakh shares, indicating some profit booking ahead of the new year. Despite the pullback, Adani Power maintained its position above key moving averages except the 50-day average, which continued to act as resistance. The stock’s resilience amid a rising market suggested underlying strength.

1 January 2026: Exceptional Volume and Price Surge Mark New Year

Adani Power delivered its most notable performance of the week on 1 January 2026, surging 4.09% to close at Rs.148.85. The stock reached an intraday high of Rs.151.95, a 6.26% increase from the previous close, driven by exceptional trading volumes of nearly 7 million shares. This volume surge was accompanied by a traded value exceeding ₹518 crore, positioning Adani Power among the most actively traded stocks by value and volume on the day. The stock outperformed the Sensex’s modest 0.14% gain and the power sector’s 1.80% rise, reflecting strong institutional interest and renewed investor confidence.

Technically, the stock traded above all major moving averages, including the 50-day average for the first time this week, signalling a potential breakout. However, delivery volumes declined by 12.33% compared to the five-day average, suggesting some profit-taking amid the rally. The weighted average price indicated that a significant portion of trades occurred closer to the day’s low, highlighting cautious participation despite the bullish momentum.

2 January 2026: Week Closes with a Marginal Decline

On the final trading day of the week, Adani Power closed slightly lower at Rs.148.15, down 0.47%. The Sensex, however, gained 0.81% to 37,799.57, continuing its upward trend. Volume moderated to 16.11 lakh shares, reflecting a return to more typical trading levels after the previous day’s surge. The stock’s ability to hold above Rs.148 despite the minor decline underscored sustained investor interest and technical support near current levels.

Key Takeaways from the Week

Positive Signals: Adani Power’s 4.22% weekly gain notably outperformed the Sensex’s 1.35% rise, driven by strong intraday rallies on 30 December and 1 January. The stock’s breakout above the 50-day moving average on 1 January, supported by exceptional volumes exceeding 6.9 million shares, indicates robust buying interest and technical strength. Institutional participation was evident from the high traded value of ₹518 crore, underscoring renewed confidence in the stock’s fundamentals.

Cautionary Notes: Despite the volume surge, delivery volumes declined by over 12%, suggesting some profit-taking or short-term trading activity. The weighted average price being closer to the day’s low on 1 January also points to cautious accumulation rather than aggressive buying. The stock’s minor pullbacks on 29 December and 31 December highlight resistance near key moving averages, which may temper near-term upside momentum.

Fundamental and Technical Context: Adani Power’s Mojo Score remains at 51.0 with a ‘Hold’ grade, reflecting a balanced outlook amid improving fundamentals and market positioning. The stock’s large-cap status and liquidity support institutional trading, but the mixed technical signals warrant a measured approach. The power sector’s ongoing reforms and rising electricity demand provide a favourable backdrop, though regulatory and commodity price risks persist.

Conclusion

Adani Power Ltd’s performance over the week ending 2 January 2026 was characterised by strong intraday rallies, exceptional trading volumes, and a meaningful outperformance relative to the Sensex. The stock’s ability to breach and sustain levels above key moving averages, coupled with heightened institutional interest, signals positive momentum. However, the decline in delivery volumes and cautious trading patterns suggest that investors remain watchful of resistance levels and broader market conditions. Overall, the week’s developments position Adani Power as a resilient large-cap stock within the power sector, balancing growth potential with measured risk considerations.

Only Rs. 9,999 - Get MojoOne + Stock of the Week for 1 Year (MRP = Rs. 34,999) Start Saving Now →