ELECON - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 4.1

📊 Technical & Momentum Overview

✅ Strengths

Price Action: Trading above both 50 DMA (₹586) and 200 DMA (₹578), confirming short- and medium-term strength.

MACD (12.1): Positive crossover, indicating bullish momentum.

RSI (63.6): Neutral-bullish zone, tradable with room before overbought.

ROCE (29.1%) & ROE (22.6%): Excellent capital efficiency.

PEG (0.70): Attractive growth-adjusted valuation.

EPS (₹23.3) vs P/E (35.6): Reasonably valued relative to industry PE (49.5).

Debt-to-Equity (0.09): Low leverage—adds margin of safety.

FII Inflow (+0.96%): Foreign institutions accumulating.

Qtr Profit Growth (+93.6%): Strong earnings momentum.

⚠️ Watchouts

Volume Drop: Current volume ~55% below 1-week average—momentum not broadly supported.

DII Outflow (–0.59%): Mild domestic caution.

PAT Decline: ₹107 Cr vs ₹125 Cr—sequential dip despite strong YoY growth.

52W Index (69.5%): Mid-range performance—no breakout confirmation.

Recent market activity shows Elecon outperforming its sector with an 8.39% intraday gain, trading above all major moving averages except the 100-day, indicating a mixed but strengthening trend

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. Valuation remains attractive compared to peers, though growth expectations are slightly muted

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🎯 Optimal Entry Price

Buy Zone: ₹585–₹595 (near 50 DMA and breakout base)

Momentum Entry: ₹625–₹630 if RSI crosses 66 and MACD remains strong

🚪 Exit Strategy (If Already Holding)

Target Exit: ₹715–₹735 (near 52W high and resistance zone)

Stop Loss: ₹565 (below 200 DMA and recent support)

Exit Trigger: RSI > 70 or MACD flattens

Selva, ELECON is shaping up as a technically strong swing candidate with solid fundamentals and foreign support. If you're building a capital goods or industrial basket, I can help you script MACD and RSI alerts or optimize entry logic across the segment.

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www.marketsmojo.com

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simplywall.st

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