GLAXO - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 3.1

📊 Technical & Momentum Analysis

Trend Weakness: Price is below both 50 DMA (₹2,881) and 200 DMA (₹2,803), indicating a short-term downtrend.

MACD Deep Negative: −34.0 confirms bearish momentum—no sign of reversal yet.

RSI Near Oversold: 43.4 suggests the stock is approaching oversold territory, but not yet bouncing.

Volume Flat: Current volume (1.13L) is slightly above 1-week average (1.06L), showing neutral participation.

📈 Fundamental Snapshot

Valuation Premium: P/E of 49.7 vs industry average of 33.4 and PEG of −2.51 signals overvaluation and earnings contraction.

Exceptional Efficiency: ROCE 62.6%, ROE 46.4%—elite capital deployment.

Low Leverage: Debt-to-equity of 0.01 adds financial resilience.

Profit Decline: PAT dropped from ₹260 Cr to ₹205 Cr, but Qtr Profit Var is still +12.7%—moderate.

Institutional Sentiment: FII increased (+0.37%), DII slightly reduced (−0.08%)—net neutral.

🎯 Trade Strategy

🔹 Optimal Entry Price

₹2,700–₹2,730: Near recent support and approaching oversold RSI zone. Entry only if MACD flattens and RSI crosses 45 with volume pickup.

🔹 Exit Strategy (If Already Holding)

₹2,880–₹2,900: First resistance zone near 50 DMA. Consider partial exit if RSI crosses 60 or MACD turns positive.

₹3,480–₹3,516: Final exit near 52-week high if momentum resumes.

Trailing Stop: ₹2,680 to protect downside.

🧠 Summary

GLAXO is fundamentally strong with elite ROCE/ROE and low debt, but technically weak with bearish momentum and stretched valuation. It’s suitable for oversold bounce trades, not aggressive swing setups. Entry near support with confirmation is key.

For cleaner momentum setups, I can prep a filtered basket with MACD > 10, PEG < 1.5, and ROCE > 25%—just say the word.

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