ECLERX - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 4.4

📊 ECLERX Swing Trade Analysis

ECLERX (eClerx Services Ltd.) presents a strong swing trade opportunity, driven by excellent technical momentum, robust fundamentals, and institutional accumulation. While valuation is rich and PEG ratio is negative, the trend and volume favor a short-term bullish move.

✅ Strengths

Technical Momentum

MACD: 113 — strong bullish crossover, signaling upward momentum.

RSI: 57.8 — healthy zone, with room to rise.

Price Above DMA 50 & 200: Current price ₹4,409 is well above DMA 50 (₹4,061) and DMA 200 (₹3,441), confirming trend strength.

Volume Surge: Current volume is ~71% higher than 1-week average, showing strong trader interest.

Fundamental Quality

ROCE: 28.8% / ROE: 23.6% — excellent capital efficiency.

EPS: ₹77.9 — strong earnings base.

Debt-to-Equity: 0.19 — low leverage.

DII Holding Up: +0.92% / FII Holding Up: +0.04% — institutional confidence.

Profit Growth

Qtr Profit Var: +32.0% — solid earnings momentum.

⚠️ Risks

Valuation Concerns

P/E: 56.5 vs Industry PE: 37.8 — relatively expensive.

PEG Ratio: -52.8 — negative, suggesting growth doesn’t justify valuation.

Dividend Yield: 0.02% — negligible income support.

52W Index: 90.8% — near yearly high, limiting short-term upside.

🎯 Trade Strategy

Optimal Entry Price: ₹4,300–₹4,350

Enter on a minor pullback near 50 DMA for a lower-risk setup.

Exit Plan (If Holding)

Target Exit: ₹4,550–₹4,600

Conservative target near recent high.

Stop Loss: ₹4,150

Below 50 DMA to manage downside risk.

ECLERX is a strong swing candidate for traders seeking momentum in mid-cap IT and analytics. Let me know if you'd like to compare it with peers like LTI Mindtree or Tata Elxsi.

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