POONAWALLA - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 2.9

📊 Swing Trade Analysis: Poonawalla Fincorp Ltd (POONAWALLA)

Poonawalla Fincorp shows strong short-term momentum, but its fundamental weaknesses and overbought technicals make it a risky swing trade at current levels. Traders should be cautious and wait for a pullback before considering entry.

✅ Positives

Technical Momentum

RSI: 71.4 → Strong bullish momentum, though nearing overbought.

MACD: 4.31 → Bullish crossover.

Price well above DMA50 (₹441) and DMA200 (₹405) → Confirmed uptrend.

Volume Surge

Current volume (7.2 Cr.) far exceeds 1-week average (1.57 Cr.) → Strong market interest.

Institutional Accumulation

FII Holding ↑ 0.77%, DII Holding ↑ 1.14% → Strong institutional support.

52-Week Strength

Up 95.4% from low of ₹267 → Strong price performance.

⚠️ Weaknesses

Fundamental Concerns

EPS: -₹4.21 and ROE: -1.29% → Negative earnings and poor shareholder returns.

ROCE: 4.77% → Weak capital efficiency.

Debt-to-Equity: 3.21 → Highly leveraged.

Valuation Unclear

No P/E or PEG Ratio available → Difficult to assess pricing relative to earnings.

Profit Volatility

Qtr Profit Var: -78.5% → Significant inconsistency in earnings.

🎯 Optimal Entry Price

Buy Zone: ₹460–₹470

Near DMA50, offering a better risk-reward entry after a pullback.

🚪 Exit Strategy (If Holding)

Target Exit: ₹510–₹520

Near recent high and psychological resistance.

Stop Loss: ₹475

Below DMA50 to manage downside risk.

This setup suits momentum-driven traders who can act quickly and manage risk tightly. Let me know if you'd like help tracking RSI or MACD signals for timing your entry or exit.

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