PEL - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 3.2

📊 Swing Trade Analysis: Piramal Enterprises Ltd (PEL)

PEL presents a mixed swing trade setup, with short-term technical support but weak fundamentals and valuation concerns. It may offer a brief upside opportunity, but traders should be cautious and use tight risk controls.

✅ Positives

Technical Positioning

Current price ₹1,178 is above DMA50 (₹1,145) and DMA200 (₹1,096), indicating short-term bullish bias.

RSI: 60.1 → Neutral to slightly bullish zone.

Volume: 5.74L → Reasonable liquidity.

Institutional Interest

DII Holding ↑ 0.86% → Domestic accumulation.

Earnings Recovery

PAT Qtr: ₹162 Cr. vs previous loss of ₹23.3 Cr. → Positive turnaround.

⚠️ Weaknesses

Valuation Concerns

P/E: 64.4 vs Industry PE: 24.0 → Overvalued.

PEG Ratio: -3.37 → Indicates poor growth relative to valuation.

Weak Profitability

ROCE: 4.90% and ROE: 2.31% → Low capital efficiency.

EPS: ₹19.4 → Modest earnings for current price.

MACD: -7.73 → Bearish crossover, signaling weak momentum.

FII Holding ↓ 0.89% → Foreign investors pulling back.

Volume Drop: Below 1-week average (7.76L) → Waning interest.

🎯 Optimal Entry Price

Buy Zone: ₹1,130–₹1,150

Near DMA50 and support levels, offering better risk-reward entry.

🚪 Exit Strategy (If Holding)

Target Exit: ₹1,250–₹1,280

Based on recent resistance and swing potential.

Stop Loss: ₹1,100

Below DMA200 to manage downside risk.

This setup suits short-term traders who can monitor momentum closely and exit quickly if strength fades. Let me know if you'd like help tracking MACD or RSI signals for timing your entry.

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