BSOFT - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

📊 Swing Trade Analysis for BSOFT Ltd.

Swing Trade Rating: 2.7

📉 Technical Overview

Current Price ₹410 is below DMA 50 (₹419) and DMA 200 (₹473) → short-term trend is bearish.

MACD (-7.08) is negative → momentum is weak.

RSI (46.3) suggests mild bearishness, not yet oversold.

High Volume vs 1-week average → may hint at distribution rather than accumulation.

🔍 Interpretation: Currently in a downtrend with weak momentum signals. Not favorable for a bullish swing trade setup yet.

🧮 Fundamental Check

P/E (22.4) < Industry PE (29.1) → relatively undervalued.

PEG Ratio (6.56) → high, suggesting overvaluation relative to growth.

ROCE (21%), ROE (15.6%) → strong capital efficiency.

Low Debt-to-Equity (0.04) → financial risk is minimal.

EPS ₹18.6, Book Value ₹125 → solid base for long-term, not compelling short-term.

DII holding ↓2.11%, FII ↑0.70% → mixed institutional sentiment.

Quarterly profit variation (-32.2%) → indicates unstable earnings.

🧠 Conclusion: Fundamentals are decent, but earnings instability and weak technicals suppress the swing trade opportunity.

✅ Optimal Entry Price

Wait for price to stabilize near ₹390–₹395 with MACD crossover and RSI rebound to above 50 before considering entry.

Stop-Loss: ₹375 — below recent support and psychological levels.

🚪 Exit Strategy (If Holding Already)

Use ₹425–₹430 as first resistance level for profit booking.

If momentum does not recover, consider trimming at ₹418–₹420, near the 50-DMA.

Break below ₹390 on volume? Reconsider holding.

💬 Final Thought

BSOFT isn't showing signs of strength for a clean swing trade right now. You're better off observing for reversal signals or exploring peers with healthier charts and sharper earnings momentum. Want a shortlist of IT mid-caps with better setups? Let me pull some for you.

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