PCBL - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

📊 Swing Trade Analysis: PCBL Ltd.

Swing Trade Rating: 2.5

✅ Positives

Price Discount to Recent High: Trading near ₹391 vs high of ₹584 — potential for upside.

DII Accumulation: Domestic institutional investors increased holdings (+0.96%) — a mildly supportive signal.

Dividend Yield (1.41%): Modest income buffer if held short-term.

⚠️ Red Flags

Weak Technicals

RSI (39.9) and MACD (-3.65) suggest bearish momentum.

Price trading below 50 & 200 DMA — downward pressure remains.

High Leverage: Debt-to-equity ratio of 1.51 could amplify risks in volatile swings.

Declining Profitability

PAT dropped from ₹100 Cr. to ₹94 Cr. (-6% Q-o-Q).

Qtr Profit Variation: -20.2%

PEG Ratio (28.2): Extremely overvalued relative to earnings growth.

Volume Drop: Current volume is <50% of 1-week average — signals low participation.

🎯 Optimal Entry Zone

₹365–₹375

Closer to recent support levels and psychological zones.

Wait for RSI to recover above 45 and MACD convergence for confirmation.

🧭 Exit Strategy (If Already Holding)

Target Exit Range: ₹405–₹420

Short-term resistance near 50 DMA (₹406).

Consider exiting if upward momentum slows or volume lacks follow-through.

Stop-Loss: ₹360

Protect downside near recent swing low area.

This one's a classic cautionary setup: while price may seem attractive, the technical and fundamental signals don’t stack up well for a confident swing play. Keep an eye out for recovery signals, or we can look at better setups together. Want help scanning charts or identifying stronger momentum candidates? Just say the word. 📈

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