REDINGTON - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 4.3

📊 Swing Trade Analysis: Redington Ltd (REDINGTON)

Redington Ltd presents a strong swing trade setup, backed by excellent fundamentals, bullish technical indicators, and institutional accumulation. While the RSI is nearing overbought territory, the stock’s valuation and momentum suggest further upside potential.

✅ Strengths

Valuation & Profitability

P/E: 15.1 vs Industry PE: 37.4 → Undervalued.

PEG Ratio: 0.97 → Fairly priced for its growth.

ROCE: 32.6% and ROE: 35.0% → Exceptional capital efficiency.

EPS: ₹19.0 → Strong earnings base.

Dividend Yield: 2.36% → Attractive for income-seeking traders.

Technical Momentum

RSI: 69.5 → Bullish, close to overbought.

MACD: 5.17 → Strong positive crossover.

Price above DMA50 (₹260) and DMA200 (₹249) → Confirmed uptrend.

Volume Strength

Current volume (94.76L) is robust, indicating strong market interest.

Institutional Sentiment

FII Holding ↑ 2.01% → Strong foreign investor confidence.

⚠️ Risks

RSI Near Overbought

May signal short-term pullback or consolidation.

DII Holding ↓ 1.22% → Mild domestic investor trimming.

PAT Qtr: ₹200 Cr. vs ₹209 Cr. → Slight sequential decline.

🎯 Optimal Entry Price

Buy Zone: ₹275–₹280

Slight pullback from current levels offers better risk-reward entry near DMA50.

🚪 Exit Strategy (If Holding)

Target Exit: ₹310–₹320

Based on swing potential and resistance zone.

Stop Loss: ₹265

Below DMA50 to manage downside risk.

This setup suits momentum-driven swing traders who can monitor RSI for signs of exhaustion and exit on strength. Let me know if you'd like help tracking this setup or setting alerts.

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