LIC stock breaks above 200-DMA after 8 months; here's what may happen next

Technical chart indicates that LIC share price can potentially appreciate up to ₹1,080 levels; here are the key support and resistance levels to watch out for.

Life Insurance Corporation (LIC) of India stock rallied nearly 9 per cent to an intra-day high of ₹948 on Wednesday, a day after the state-run insurer announced its Q4 results.  LIC on Tuesday after market hours reported a 38 per cent year-on-year (YoY) growth in net profit at ₹19,013 crore for the fourth quarter ended March 2025 when compared with ₹13,763 crore posted in the corresponding quarter a year ago.  LIC's total income, however, slipped by 3.7 per cent YoY to ₹2,41,625 crore from ₹2,50,923 crore in the same reported period. The insurer also declared a dividend of ₹12 per share.  Meanwhile, a couple of weeks ago, the government announced its plan to dilute its stake in LIC. The government intends to divest up to 6.5 per cent stake in LIC in tranches over the next 24 months, in order to meet the stock market regulator's mandate on minimum public shareholding (MPS).  Catch Stock Market Latest Updates Today LIVE    "This year, we will follow a strategy of regular offers for sale (OFS) in small tranches. We are officially giving forward guidance for small investors to look out for it," said Dipam Secretary with regards to stake sale in Public State Units (PSU) companies.  Back to LIC, the stock today after almost 8 months broke above the 200-Day Moving Average (200-DMA), which now stands at ₹893. The stock last traded above this long-term moving average on October 1, 2024.  Where will the LIC stock go from here? Here's what the technical chart indicates.  ALSO READ | HUL, Kaveri Seeds among 5 stock picks this monsoon; check upside potential 

LIC

Current Price: ₹930  Upside Potential: 16.1%  Support: ₹908; ₹893; ₹864  Resistance: ₹1,000; ₹1,037  The 200-DMA is a key moving average, which helps in determining the long-term trend of the stock. LIC stock is now likely to trade with a favourable bias as long as the stock holds above ₹893 levels; below which support for the stock stands at ₹864. Further, the stock is on the verge of giving a breakout on the weekly scale. A weekly close above ₹908 shall confirm the said breakout.  Based on the two positive developments, the stock could aim to recover earlier lost ground, as such LIC stock can potentially rally to ₹1,080 levels. Interim resistance for the stock can be anticipated around ₹1,000-mark and ₹1,037 levels. CLICK HERE FOR THE CHART