ENGINERSIN - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 3.4

📊 Technical & Momentum Analysis

Trend Setup: Price is hovering around the 50 DMA (₹209) and slightly above the 200 DMA (₹203), suggesting a neutral-to-bullish base formation.

MACD Flat: At 0.39, MACD lacks strong momentum—no clear crossover signal.

RSI Neutral: 51.9 indicates indecision, not yet in oversold or breakout territory.

Volume Drop: Current volume (20.5L) is significantly below 1-week average (32.9L), showing reduced trader interest.

📈 Fundamental Snapshot

Valuation Reasonable: P/E of 24.3 vs industry average of 20.6 is acceptable; PEG of 2.41 is slightly stretched.

Strong Returns: ROCE 24.4% and ROE 18.4% reflect solid capital efficiency.

Dividend Yield: 1.93% adds cushion for holding periods.

Institutional Confidence: DII holding up (+3.54%) and FII marginally positive (+0.38%)—a bullish undertone.

Profit Drop: PAT fell sharply from ₹243 Cr to ₹70.1 Cr, but Qtr Profit Var shows +27.9%—possibly a normalization after a one-off spike.

🎯 Trade Strategy

🔹 Optimal Entry Price

₹202–₹205: Near 200 DMA with margin of safety. Wait for MACD crossover and volume recovery before entry.

🔹 Exit Strategy (If Already Holding)

₹225–₹230: First resistance zone. Consider partial exit if RSI crosses 65 or MACD flattens.

₹250–₹255: Final exit near 52-week high if momentum sustains.

Trailing Stop: ₹198 to protect downside.

🧠 Summary

Engineers India Ltd. presents a mild swing setup—technicals are neutral but fundamentals are supportive. Ideal for cautious swing traders who prefer low debt and institutional backing. Entry near 200 DMA offers a safer base, but wait for momentum confirmation.

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