LICN Stock Analysis: Is a 70% Bullish Move Coming? (Smart Money Insight)
published by TradeXnepal
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| LICN Technical Chart |
📈 LICN Weekly Analysis: A Potential 70% Upside Move? | NEPSE Smart Money Concept Breakdown
Welcome back to TradeXNepal, your hub for smart money-based NEPSE technical analysis! In today’s post, we’re diving deep into the weekly chart of Life Insurance Company Nepal (LICN) using Smart Money Concept (SMC) to identify potential trading opportunities.
🧠 Smart Money Breakdown: What’s Happening on LICN?
Looking at the weekly chart of LICN, we observe some key structural shifts that hint at a possible bullish opportunity:
✅ Break of Structure (BOS) Confirmed
A Break of Structure (BOS) has occurred both historically and recently, signaling strong buying momentum by institutional players (aka smart money). After a prolonged downtrend and accumulation phase in 2022–2023, LICN broke its previous high around the ₹1000 mark, confirming a bullish BOS.
This structural change indicates that the downtrend has ended and that we may be in the early stages of a new bullish leg.
📍 Price Has Returned to the 1W POI (Point of Interest)
Currently, the price is retracing and has tapped into a Weekly POI, which is a potential demand zone. This area ranges between ₹909 and ₹1026, and as of now, LICN is trading around ₹994.
This is a textbook liquidity grab and mitigation phase, where smart money is likely to accumulate positions before pushing the price higher.
📊 Fibonacci Extensions: Targeting the Next Move
Using Fibonacci extension from the swing low to swing high:
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1.618 Extension: 1621.83
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2.0 Extension: 1773.65
These levels serve as probable targets for the next bullish wave.
If LICN rallies from the current level to the 2.0 Fibonacci extension, that’s a potential gain of over 70%—a significant opportunity for swing and position traders.
🔎 Volume Insight
Notice the rising volume during bullish impulses and reduced volume during the retracement phase. This is another sign that the current drop could be a healthy correction, not a trend reversal.
📌 Key Levels to Watch
| Level Type | Price (NPR) |
|---|---|
| Weekly POI Range | 909 – 1026 |
| Current Market Price | 994 |
| 1.618 Fib Extension | 1621.83 |
| 2.0 Fib Extension | 1773.65 |
⚠️ Risk Management Reminder
While the chart looks promising, always use a proper risk-to-reward ratio and wait for confirmations like bullish engulfing candles or a break of the internal structure on lower timeframes before entering.
Set your stop-loss just below the POI (around 900) to manage risk efficiently.
📌 Final Thoughts
LICN is showing signs of smart money involvement and could be gearing up for a massive move. If you're a trader who follows Smart Money Concepts or price action strategies, this is definitely a chart to keep on your radar.
We'll continue to monitor LICN closely and share updates here on TradeXNepal.
📢 Disclaimer: This analysis is for educational purposes only and not financial advice. Always do your own research before investing.
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