SpiceJet Technical Momentum Shifts Amid Bearish Market Signals

Technical Trend Overview

SpiceJet’s technical trend has transitioned from mildly bearish to a more pronounced bearish stance. The daily moving averages indicate a bearish pattern, suggesting that short-term price action is under pressure. This is corroborated by Bollinger Bands on both weekly and monthly charts, which also signal bearish momentum, implying that volatility is skewed towards lower price levels.

The Moving Average Convergence Divergence (MACD) presents a mixed picture: weekly data shows mildly bullish tendencies, while monthly readings remain bearish. This divergence suggests that while short-term momentum may be attempting to stabilise or recover, the longer-term trend remains subdued. The KST (Know Sure Thing) indicator aligns with this view, showing mild bullishness on a weekly basis but bearishness over the monthly horizon.

Relative Strength Index and Dow Theory Signals

The Relative Strength Index (RSI) on both weekly and monthly charts currently does not provide a definitive signal, indicating neither overbought nor oversold conditions. This neutral RSI reading suggests that the stock is not exhibiting extreme momentum in either direction, which may imply a period of consolidation or indecision among investors.

Dow Theory analysis adds further nuance, with weekly signals leaning mildly bearish and monthly trends showing no clear directional bias. This combination points to a cautious market stance, where short-term pressures exist but longer-term trend confirmation remains elusive.

Price Movement and Volatility

On 1 December 2025, SpiceJet’s stock closed at ₹33.27, down from the previous close of ₹33.74, marking a day change of -1.39%. The intraday range spanned from ₹33.12 to ₹33.97, reflecting moderate volatility within a relatively narrow band. The stock’s 52-week high stands at ₹63.40, while the 52-week low is ₹28.13, indicating a wide trading range over the past year.

This price action, combined with the technical indicators, suggests that the stock is navigating a challenging environment, with resistance near the mid-30s and support closer to the 28-29 range. The current price level remains significantly below the 52-week high, underscoring the downward pressure experienced over the year.

Comparative Returns Against Sensex

SpiceJet’s returns over various periods contrast sharply with the broader market benchmark, the Sensex. Over the past week, the stock recorded a return of -5.24%, while the Sensex gained 0.56%. The one-month return for SpiceJet was -13.49%, compared to a 1.27% rise in the Sensex. Year-to-date, SpiceJet’s return stands at -39.95%, whereas the Sensex shows a positive 9.68%.

Looking at longer horizons, the stock’s one-year return is -46.57%, while the Sensex posted 8.43%. Over three years, SpiceJet’s return is -15.24%, contrasting with the Sensex’s 37.12%. The five-year and ten-year returns for SpiceJet are -53.47% and -49.21%, respectively, compared to Sensex gains of 94.13% and 228.02% over the same periods.

These figures highlight the stock’s underperformance relative to the broader market, reflecting sector-specific headwinds and company-specific challenges that have weighed on investor sentiment.

On-Balance Volume and Market Capitalisation Context

While On-Balance Volume (OBV) data for SpiceJet is not explicitly detailed in recent assessments, the prevailing bearish technical signals suggest that volume trends may not be supporting upward price momentum. The company’s market capitalisation grade is moderate, reflecting its standing within the airline sector but also indicating room for growth or contraction depending on market conditions.

Given the airline industry’s sensitivity to fuel prices, regulatory changes, and demand fluctuations, technical indicators must be interpreted alongside fundamental factors to gain a comprehensive view of SpiceJet’s market position.

Moving Averages and Momentum Indicators

Daily moving averages for SpiceJet are firmly bearish, signalling that recent price action is below key average price levels. This typically suggests that sellers are dominant in the short term. The weekly MACD’s mildly bullish signal may indicate attempts at momentum recovery, but the monthly MACD’s bearish stance tempers expectations for sustained upward movement.

The KST indicator’s mixed signals—mildly bullish weekly and bearish monthly—further reinforce the notion of short-term fluctuations within a longer-term downtrend. Investors and analysts may view this as a period of consolidation or tentative attempts at price stabilisation amid broader market pressures.

Sectoral and Market Implications

SpiceJet operates within the airline sector, which has faced considerable volatility due to fluctuating fuel costs, geopolitical tensions, and shifting travel demand patterns. The stock’s technical indicators reflect these challenges, with bearish trends dominating across multiple timeframes. This environment necessitates careful monitoring of momentum shifts and technical signals to anticipate potential inflection points.

Investors analysing SpiceJet should consider the interplay between technical momentum and fundamental developments, including operational performance, regulatory updates, and broader economic conditions impacting air travel.

Conclusion: Navigating a Complex Technical Landscape

SpiceJet’s recent technical assessment reveals a complex picture characterised by bearish momentum across daily, weekly, and monthly indicators, tempered by occasional mildly bullish signals on shorter timeframes. The stock’s price action, combined with relative underperformance against the Sensex, underscores the challenges faced by the airline in the current market environment.

While some technical indicators hint at potential short-term stabilisation, the prevailing trend remains cautious. Market participants should weigh these signals carefully alongside fundamental factors to inform their investment decisions regarding SpiceJet.

Limited Time Only! Upgrade now and get 1 Year of Stock of the week worth Rs. 14,999 for FREE. Don't miss out on this exclusive offer. Claim Your Free Year →