ITC vs HUL: Technical charts weigh in favour of this FMCG stock; check why

ITC vs HUL stock: HUL seems technically favourably placed as per the strength shown by the momentum oscillators; the stock also witnessed a 'Golden Crossover' recently, shows the daily chart.

FMCG majors - ITC and Hindustan Unilever (HUL) recently announced Q1 earnings. HUL stock rallied over 11 per cent in the next two trading sessions after announcing its Q1FY26 results; whereas, ITC jumped over 1 per cent as the stock reacted to the numbers which were announced post market hours on Friday.  ITC reported a 3 per cent year-on-year (YoY) growth in Q1 consolidated net profit at ₹5,244 crore as against ₹5,092 crore posted in the year ago period. Revenue from operations increased by 19.5 per cent YoY to ₹23,129 crore from ₹19,350 crore.  Brokerages have a divided opinion on ITC stock post the Q1 earnings. Select brokerage firms like Nuvama Institutional Equities and Antique Stock Broking have raised their expected target price for the stock; while Citi and Motilal Oswal wave lowered the anticipated target price on ITC. READ FULL REPORT  Meanwhile, HUL which reported around 5 per cent YoY growth in consolidated net profit and revenue received a positive rating from analysts. READ COMPASS  READ STOCK MARKET LATEST UPDATES LIVE  Against this background, here's how ITC and HUL stock are placed on the technical charts. 

ITC

Current Price: ₹420  Likely Target: ₹395  Downside Risk: 6%  Support: ₹414  Resistance: ₹429  ITC stock is seen trading above its key moving averages, and attempting a breakout on the daily chart. A close above ₹419.40 shall confirm the same. Post which, the short-term trend should also turn favourable. 

 

  However, despite this the overall bias for ITC is expected to remain tepid as long as the stock trades below ₹446, shows the weekly chart. Interim resistance for the stock is placed at ₹429.  On the flip side, break and sustained trade below ₹414 levels, can drag the stock towards the 100-Week Moving Average (100-WMA), which stands at 395. To summarise, the technical chart suggests that ITC stock is likely to trade on a subdued note, in the ₹395 - ₹446 range for now. 

Hindustan Unilever (HUL)

Current Price: ₹2,555  Likely Target: ₹3,000  Upside Potential: 17.4%  Support: ₹2,477; ₹2,438  Resistance: ₹2,620; ₹2,750; ₹2,820  HUL stock witnessed a breakout on the daily chart on July 7, and since then has gained 9.5 per cent. At present, the stock is seen firmly trading above the key moving average, with overall bias likely to remain positive above ₹2,438 levels. The 20-DMA at ₹2,477 can act as a near-term support. 

 

  Technically, HUL seems favourably placed on charts compared to ITC as the former stock has recently witnessed the formation of 'Golden Crossover' on the daily chart; and the key momentum oscillators are showing positive crossovers on the long-term chart. HUL is also seen trading above the trend line support across time-frames.  On the upside, the stock needs to trade consistently above ₹2,550 levels to notch further gains. Long-term chart shows that the stock can potentially soar towards ₹3,000-mark; with interim resistance likely around ₹2,620, ₹2,750 and ₹2,820 levels.