LIC stock sees 'Death Cross' after 6 months; here are key levels on charts

Technically, the term 'Death Cross' means that the 50-DMA has slipped below the 200-DMA. Chart shows that LIC stock now trades below both the key moving averages.

Life Insurance Corporation of India (LIC) stock is seen trading with a negative bias for the second straight month. The stock is down nearly 1 per cent so far, this month, following a 6 per cent decline in December.  LIC stock has witnessed a tepid trend in the share market amid buzz of likely stake sale. The government owns up to 96.5 per cent equity stake in the insurance behemoth, and plans to offload around 6.5 per cent in two tranches.  According to reports, the Centre may conduct the first tranche of the stake sale before the end of the financial year 2025-26.  Amid the sustained downward pressure, LIC stock today witnessed the formation of 'Death Cross' on the daily chart. The term 'Death Cross' means that short-term moving average - the 50-day moving average (50-DMA) has now dropped below the long-term 200-DMA.  In general, 'Death Cross' is considered as a 'Bearish' development, as short-term moving average drifts lower, indicating possible resistances at lower levels.  LIC's daily chart shows that the 50-DMA now stands at ₹879.19, and is seen quoting below the 200-DMA, which stands at ₹880.33.

  LIC stock daily chart

 

 

  The above chart shows that the LIC is witnessing the formation of 'Death Cross' after a gap of more than 6 months. The preceding 'Golden Cross' (50-DMA crossing over the 200-DMA) formation had occurred on June 27, 2025.  The above chart also shows that LIC stock has been trading below its long-term 200-DMA since December 8, 2025. The 200-DMA is considered as a key indicator in determining the long-term trend of the underlying stock. In general, stock prices above the 200-DMA are considered bullish and vice versa.  On similar lines, the stock has been quoting below the supertrend line indicator since December 3, 2025. The supertrend line indicator on the daily chart suggests the likely short-term trend for the stock.  LIC's stock weekly chart shows that the stock has been consolidating around its 50-week moving average (50-WMA) since May 2025. 

LIC stock weekly chart

 

  LIC's weekly chart also shows that the stock has been holding above the supertrend line - a key medium-to-long term indicator that helps in determining the broader trend of the stock, since the breakout in May 2025.  According to the chart, LIC's 50-WMA stands at ₹862.16, while the weekly supertrend line indicator is at ₹815.15.