SBILIFE - Swing Trade Analysis

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

Swing Trade Rating: 3.5

📊 Technical & Momentum Analysis

Current Price (₹1,796) is hovering around the 50-DMA (₹1,795) and above the 200-DMA (₹1,662) — neutral to mildly bullish setup.

RSI (45.0): Slightly below neutral — not oversold, but lacks strong momentum.

MACD (4.25): Positive — suggests mild upward momentum.

Volume: Below weekly average — indicates low conviction in current price movement.

📈 Fundamental Overview

P/E (72.4) matches Industry PE (72.4) — fairly valued relative to peers.

PEG Ratio (4.25): High — growth doesn’t justify valuation for short-term trades.

ROCE (16.9%) & ROE (15.1%): Solid — indicates decent operational and financial efficiency.

EPS (₹24.8): Reasonable earnings base.

Dividend Yield (0.15%): Minimal — not a factor for swing trading.

Debt to Equity (0.00): Excellent — zero leverage risk.

Quarterly Profit Decline: From ₹814 Cr. to ₹594 Cr. — notable drop, but still profitable.

Institutional Activity: FII ↑ (0.46%), DII ↓ (-0.43%) — mixed sentiment.

⚖️ Swing Trade Suitability

Why It’s a Moderate Candidate

Technically stable with price near key moving averages.

Fundamentals are solid, but valuation is rich.

Momentum indicators are neutral — no strong bullish signal yet.

What Could Improve It

RSI rising above 50 with volume pickup.

Price breaking above ₹1,820–₹1,850 with MACD acceleration.

🎯 Optimal Entry Price

Entry Zone: ₹1,770–₹1,785 — near 200-DMA and recent support. Look for confirmation via RSI > 50 or MACD divergence.

🚪 Exit Strategy

If Holding: Target exit near ₹1,900–₹1,920 — resistance zone below 52-week high.

Stop Loss: ₹1,740 — below recent support and 200-DMA to manage downside risk.

SBILIFE offers a balanced swing setup with decent fundamentals and a neutral technical posture. It’s not explosive, but could reward patient traders if momentum builds above key resistance.

Edit in a page