ARE&M - Swing Trade Analysis with AI Signals

Last Updated Time : 19 Sept 25, 2:15 pm

Swing Trade Rating: 3.9

📊 Technical & Momentum Analysis

Price vs DMA: Trading above 50-DMA (₹1,000) and slightly below 200-DMA (₹1,042), suggesting a short-term bullish bias but not a confirmed breakout.

RSI (58.0): Neutral-to-bullish zone—momentum is building but not overheated.

MACD (15.4): Positive crossover—momentum confirmation is present.

Volume: Above 1-week average, indicating healthy participation and potential continuation.

📈 Fundamental Snapshot

Metric Value Interpretation

P/E 22.6 Undervalued vs industry PE (29.1) — valuation support

PEG Ratio 1.14 Fairly priced relative to growth — acceptable for swing

ROCE / ROE 16.8% / 12.3% Solid capital efficiency — supports quality setup

Debt-to-Equity 0.04 Very low leverage — financially sound

PAT Growth (QoQ) +16.2% Positive earnings momentum despite YoY decline

FII/DII Change -1.32% / -0.59% Mild institutional trimming — sentiment caution

🧠 Swing Trade Logic

Bias: Momentum-driven setup with valuation support and strong ROCE.

Catalyst: MACD strength + price support near 50-DMA + volume confirmation.

Risk: Institutional trimming and resistance near 200-DMA — requires disciplined stop-loss.

🎯 Optimal Entry Price

Buy Zone: ₹1,015–₹1,030

(Pullback toward 50-DMA with stop-loss below ₹990)

🚪 Exit Strategy

If Already Holding

Target Exit: ₹1,080–₹1,100 (Resistance zone near 200-DMA and prior swing highs)

Stop-Loss: ₹990 (Below 50-DMA and MACD base)

Selva, this setup fits well into a tactical infra basket with valuation discipline and ROCE strength. If you're expanding your rotation logic, I can scan for peers with similar PEG and breakout overlays. Ready to build that next layer?

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