Birlasoft Limited Monthly Chart Analysis: A Strong Bullish Reversal in Play

By Ashish Sharma (BCom, MBA, PGDBM, NISM)
December 4, 2025 | Trading & Technical Analysis

Hello traders and investors,

Birlasoft is engaged in Computer programming, consultancy, and related activities. It provides software development and IT consulting to its customers predominantly in Banking, Financial Services, and Insurance, Life Sciences and Services, Energy Resources and Utilities, and Manufacturing. The Company’s registered office is in Pune. It is part of The CK Birla Group, Birlasoft, comprising over 10,000 plus professionals.

Today, I’m breaking down the monthly chart of Birlasoft Limited using Smart Money Concepts, Fibonacci extensions, and price action analysis. The chart shows a compelling move—up 11.19% in a single monthly candle—and hints at more upside if key levels hold.

Let’s dive in.

📈 The Big Picture: What Just Happened?

Birlasoft Limited closed the month at 422.75, up sharply from the monthly open of 379.40. The candle shows no upper wick—meaning buyers were in control right through the close.

Key Levels:

• Monthly High: 424.80

• Monthly Low: 379.40

• Close: 422.75

This kind of candle often signals strong institutional accumulation, especially when it breaks a prior structure.

🧠 Smart Money Concepts (SMC) – What’s the “Smart Money” Doing?

The chart is plotted with a custom SMC indicator, which helps visualize order blocks, liquidity sweeps, and break of structure (BOS) in Birlasoft Limited

Here’s what stands out:

• Break of Structure (BOS) confirmed above 381.30

• Order Block between 379.40–381.30 is now support

• Liquidity below 380 likely got taken out before the rally

In plain English: Big players bought the dip near 379–381, ran the stops below, and then pushed price higher.

🔮 Fibonacci Targets: Where Could Price Go Next?

The chart also includes an IPV – V2 Fibonacci extension tool, drawn from a prior swing low to high.

Here are the next projected targets if the bullish momentum continues: in Birlasoft Limited

• 0.618 level → ~432

• 1.27 level → ~455

• 2.24 level → ~495

• 2.618 level → ~515

We’re currently heading toward Target 1 (432), which aligns with a prior monthly high. A clean break above 425 could open the path to 455.

📊 Fundamental Angle: Why the Rally?

While this is primarily a technical blog, no analysis is complete without context.

Bitsoft operates in the tech/software space—a sector that’s been gaining traction due to:

• Rising cloud and AI adoption

• Digital transformation across industries

• Strong quarterly earnings in tech

An 11% monthly move often coincides with positive news—like a big contract, an earnings beat, or sector-wide momentum.

⚠️ What Could Go Wrong?

No setup is perfect. Here are the risks:

• A false breakout above 424.80 could lead to a pullback toward 400–410.

• If price closes below 379.40, the bullish structure would invalidate.

• Overbought conditions on lower timeframes may trigger profit-taking.

Always trade with a plan—and a stop loss.

✅ My Takeaway & Trade Idea

Bias: Bullish, but not blind.

The monthly candle is strong, SMC confirms buyer control, and Fibonacci targets are well-defined.

If I were trading this:

• Entry: On a pullback to 410–415 (if it comes) or a break above 425

• Target 1: 432

• Target 2: 455

• Stop Loss: Below 379.40

I’d be watching the daily and weekly charts for confluence before entering.

🧾 Final Thoughts

Monthly charts don’t move like this without reason. Whether it’s fund-driven accumulation or a sector-wide rally, Bitsoft is showing strength.

Trade what you see—not what you hope.

Disclaimer: This is educational content and not financial advice. Trading carries risk. Past performance does not guarantee future results.https://medium.com/@ashish.roche/birlasoft-limited-monthly-chart-analysis-a-strong-bullish-reversal-in-play-6d164599e852

Let me know in the comments: Are you watching Bitsoft? What’s your take on this monthly candle?

Happy trading,
Ashish Sharma