HFCL Ltd Gains 2.32%: Mixed Technical Signals and Volume Surge Shape Weekly Trend

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HFCL Ltd recorded a modest weekly gain of 2.32%, closing at Rs.71.34 on 20 Feb 2026, outperforming the Sensex’s 0.39% rise over the same period. The stock exhibited notable volatility, with a strong midweek rally followed by a late-week pullback amid mixed technical signals and exceptional trading volumes. This review analyses the key events shaping HFCL’s price action and technical momentum during the week.

Key Events This Week

16 Feb: Stock opens at Rs.69.02, down 1.00% amid Sensex gains

17 Feb: Sharp rebound with 4.36% gain to Rs.72.03 on strong volume

18 Feb: Continued momentum with 2.49% rise, technical indicators shift

19 Feb: Exceptional volume surge despite 3.21% price decline

20 Feb: Mild bearish technical shift, stock closes at Rs.71.34 (-0.15%)

Week Open
Rs.69.02
Week Close
Rs.71.34
+2.32%
Week High
Rs.73.82
Sensex Change
+0.39%

16 February: Opening Weakness Amid Broader Market Strength

HFCL Ltd began the week on a cautious note, closing at Rs.69.02, down 1.00% from the previous Friday’s close of Rs.69.72. This decline contrasted with the Sensex’s 0.70% gain to 36,787.89, reflecting sector-specific pressures or profit-taking. The stock’s volume was relatively subdued at 412,024 shares, indicating limited buying interest at the start of the week.

17 February: Strong Rebound on Renewed Buying Interest

The stock rebounded sharply on 17 Feb, surging 4.36% to close at Rs.72.03 on a significant volume increase to 1,963,570 shares. This rally outpaced the Sensex’s modest 0.32% gain, signalling renewed investor confidence. The intraday price range between Rs.69.01 and Rs.73.00 highlighted strong volatility and buying momentum. This day marked a technical momentum shift, with the stock moving from a mildly bearish to a sideways trend, supported by bullish weekly MACD and Bollinger Bands.

18 February: Continued Momentum Amid Mixed Technical Signals

HFCL extended gains by 2.49% to Rs.73.82, outperforming the Sensex’s 0.43% rise. Volume remained elevated at 1,425,555 shares. Technical indicators presented a nuanced picture: weekly momentum indicators such as MACD and KST were mildly bullish, while monthly indicators remained bearish. The stock traded comfortably above its 5-day and 20-day moving averages, signalling short-term strength, though longer-term resistance near Rs.93.95 remained distant.

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19 February: Exceptional Volume Surge Amid Price Pullback

Despite a 3.21% decline to Rs.71.45, HFCL witnessed an extraordinary surge in trading volume, with over 7.2 million shares changing hands, representing a traded value of approximately Rs.53.91 crores. This volume spike was accompanied by a delivery volume increase of 56.4% over the five-day average, indicating strong accumulation despite the price dip. The stock outperformed its sector, which declined 0.58%, and the Sensex, which fell 1.45%. The price traded within a wide range of Rs.70.50 to Rs.75.40, reflecting intraday volatility and profit-taking after recent gains.

20 February: Mildly Bearish Technical Shift and Market Uncertainty

On the final trading day of the week, HFCL closed marginally lower at Rs.71.34, down 0.15%. Technical momentum shifted from sideways to mildly bearish, with daily moving averages turning negative and monthly MACD and KST indicators signalling weakening longer-term momentum. However, weekly volume-based indicators such as On-Balance Volume remained bullish, suggesting ongoing investor accumulation. The MarketsMOJO grade was downgraded to Sell with a Mojo Score of 37.0, reflecting cautious sentiment despite the stock’s strong long-term returns relative to the Sensex.

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Daily Price Comparison: HFCL Ltd vs Sensex (16-20 Feb 2026)

Date Stock Price Day Change Sensex Day Change
2026-02-16 Rs.69.02 -1.00% 36,787.89 +0.70%
2026-02-17 Rs.72.03 +4.36% 36,904.38 +0.32%
2026-02-18 Rs.73.82 +2.49% 37,062.35 +0.43%
2026-02-19 Rs.71.45 -3.21% 36,523.88 -1.45%
2026-02-20 Rs.71.34 -0.15% 36,674.32 +0.41%

Key Takeaways

Positive Signals: HFCL outperformed the Sensex with a 2.32% weekly gain versus 0.39%, supported by strong volume surges and accumulation signals on 17 and 19 February. Short-term technical indicators such as weekly MACD, Bollinger Bands, and On-Balance Volume suggest underlying buying interest and momentum. The stock’s ability to trade above key moving averages during the week reflects resilience amid sector volatility.

Cautionary Signals: The late-week mild bearish shift in technical momentum, including daily moving averages turning negative and bearish monthly MACD and KST indicators, highlight potential medium-term headwinds. The downgrade to a Sell Mojo Grade and the stock’s position below its 200-day moving average suggest that upside remains capped until longer-term resistance levels are tested. The sharp price decline on 19 February despite high volume indicates profit-taking and volatility risk.

Conclusion

HFCL Ltd’s week was characterised by a strong midweek rally driven by renewed investor interest and exceptional trading volumes, enabling the stock to outperform the broader market. However, the subsequent technical momentum shift to a mildly bearish stance and the downgrade in Mojo Grade underscore ongoing uncertainty. Investors should monitor key support levels near Rs.70 and watch for confirmation of sustained volume-backed buying to validate any further upside. The stock’s strong long-term returns relative to the Sensex provide a positive backdrop, but the current mixed technical signals warrant a measured approach amid sectoral and market volatility.

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