FLUOROCHEM - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 4.0

📊 Technical & Momentum Analysis

Trend Strength: Price is above both 50 DMA (₹3,540) and 200 DMA (₹3,660), confirming bullish momentum.

MACD Strong: At 66.4, MACD signals sustained upward momentum.

RSI Elevated: 63.7 suggests strength but nearing overbought territory—momentum is strong but a pullback is possible.

Volume Weak: Current volume (2.5L) is significantly below 1-week average (6.99L), indicating fading participation—watch for volume confirmation.

📈 Fundamental Snapshot

Valuation Premium: P/E of 62.9 vs industry average of 33.9 and PEG of −7.13—signals overvaluation and earnings contraction.

Moderate Efficiency: ROCE 11.0%, ROE 9.28%—acceptable but not swing-grade elite.

Profit Growth: PAT rose from ₹167 Cr to ₹185 Cr (+66.7% Qtr Var)—strong earnings momentum.

Low Leverage: Debt-to-equity of 0.31 adds financial stability.

Institutional Sentiment: FII reduced (−0.38%), DII increased (+0.73%)—mixed but net positive.

🧠 Analyst Sentiment

Forecasts suggest a bullish trajectory for FLUOROCHEM, with mid-year targets around ₹5,675 and year-end projections as high as ₹5,844

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. Technical models also indicate potential for a breakout continuation if macro conditions remain favorable.

🎯 Trade Strategy

🔹 Optimal Entry Price

₹3,540–₹3,580: Ideal pullback zone near 50 DMA. Entry only if RSI cools below 60 and MACD remains positive.

🔹 Exit Strategy (If Already Holding)

₹4,850–₹4,880: Near 52-week high and resistance zone. Exit if RSI crosses 75 or MACD flattens.

Trailing Stop: ₹3,620 to protect gains.

🧠 Summary

FLUOROCHEM presents a momentum-backed swing setup with strong technical indicators and solid earnings growth. While valuation is stretched and volume is soft, the MACD and RSI strength support a short-term trade. Entry on a mild dip offers better risk-reward, and exit near ₹4,880 is prudent unless momentum accelerates.

Let me know if you'd like a filtered basket with PEG < 1, ROCE > 15%, and MACD > 10 for higher-conviction swing setups.

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