An earnings surprise could trigger a breakout above ₹750, according to the analyst.
IRCTC stock has been in a short-term downtrend since mid-July 2025, making lower highs and lower lows.
SEBI-registered analyst Deepak Pal noted a technical bounce is likely ahead of its upcoming Q1 results report on August 13. The seasonal pickup in travel during festivals is expected to reflect in higher revenues for the June quarter.
Technical Cues
On its charts, IRCTC stock is trading below the 20-day Exponential Moving Average (EMA), 50, 100, and 200 EMA, indicating a strong bearish pressure.
The gap between price and 20 EMA suggests oversold conditions, but no confirmed reversal yet.
Its other technical indicators, such as the Parabolic SAR, hint at possible short-term consolidation or pullback. Its Relative Strength Index (RSI) around 35 is near oversold but not extreme, and shows scope for a technical bounce if buying interest emerges.
Pal identified support at ₹717 and ₹705, with resistance levels at ₹735 and ₹750. Pal highlighted that results could act as a trigger; if numbers beat expectations, the stock may attempt to reclaim the ₹750+ zone.
What Should Investors Do?
From a technical perspective, IRCTC is holding firmly above the ₹720–₹725 zone and has maintained the ₹715–₹716 level for the last three trading sessions. He believes that any dip can be considered a buying opportunity.
In the short term, the stock may break above ₹750, and if it sustains at that level, it could potentially move towards ₹825–₹850 within the next 2–3 months.
Fundamental View
IRCTC operates in online ticketing, catering, and packaged drinking water (Rail Neer). Its monopoly position in ticketing boosts stable revenue streams. The company is debt-free, with a strong balance sheet and high cash reserves. Pal observed that its valuations are slightly at a premium compared to peers.
Additionally, the increase in the government’s railway budget allocation is a positive for long-term demand in catering and services. Rising domestic tourism trends and the festive season ahead support medium-term growth.
However, the inflation in food prices could impact catering margins. And any fare revisions announced by the government or higher input costs can affect margins and demand.
Pal concluded that while IRCTC is technically weak in the short term, it remains fundamentally strong with a monopoly advantage. He advised traders to watch for ₹717 support in the near term for signs of reversal. Medium-term sentiment depends on festive travel demand and earnings surprise.
What Is The Retail Mood?
Data on Stocktwits shows that retail sentiment turned ‘bullish’ a day ago on this counter.
IRCTC shares have declined 8% so far this year.
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