CHOLAHLDNG - Swing Trade Analysis

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

Swing Trade Rating: 4.2

📊 Analysis Summary

CHOLAHLDNG is a technically oversold but fundamentally strong stock, making it a compelling candidate for a swing trade. The valuation is attractive, earnings are growing, and institutional interest is stable. A short-term bounce is likely if technical indicators begin to reverse.

🔍 Technical Indicators

RSI (35.7): Near oversold — suggests potential for a rebound.

MACD (-11.8): Bearish, but may be bottoming out.

Price vs DMA

Current Price (₹1,912) is below 50 DMA (₹1,997) but above 200 DMA (₹1,766) — medium-term support is intact.

Volume: Above average — indicates active interest despite recent weakness.

📈 Fundamental Snapshot

P/E (16.5) vs Industry PE (26.1): Undervalued.

PEG Ratio (0.58): Attractive — implies strong growth at a reasonable price.

ROE (19.1%) & ROCE (10.6%): Solid profitability and capital efficiency.

EPS (₹116) vs Price (₹1,912): Reasonable valuation.

Qtr Profit Growth (+19.6%): Positive earnings momentum.

FII Holding ↑ (0.64%): Foreign investors increasing exposure — bullish.

DII Holding ↓ (-0.37%): Slight domestic trimming — not a major concern.

Debt to Equity (13.9): High — typical for holding/finance companies, but manageable.

✅ Entry Strategy (If Not Holding)

Optimal Entry Price: ₹1,880–₹1,900 range, near support and oversold RSI.

Wait for RSI to cross 40 and MACD to flatten or turn positive.

Confirm with volume spike or bullish candlestick pattern (e.g., hammer, bullish engulfing).

🚪 Exit Strategy (If Already Holding)

Exit near 50 DMA (₹1,997) or partial booking at ₹2,050–₹2,100.

If price breaks below ₹1,870, consider stop-loss at ₹1,840 to protect downside.

⚖️ Final Verdict

CHOLAHLDNG is a high-quality swing trade candidate with strong fundamentals and a technical setup that favors a short-term bounce. Ideal for traders seeking value with momentum recovery potential.

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