SHYAMMETL - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 3.6

📊 Swing Trade Analysis for SHYAMMETL

SHYAMMETL presents a cautious swing trading setup. While fundamentals are stable and valuation is rich, technical indicators suggest short-term weakness.

✅ Strengths

Earnings Growth: PAT improved from ₹99.5 Cr. to ₹168 Cr., a 68% jump — a positive earnings signal.

Low Leverage: Debt-to-equity ratio of 0.03 adds financial safety.

DII Accumulation: DII holdings increased by 1.05%, indicating domestic institutional confidence.

Price Above 200 DMA: Trading above the 200 DMA (₹861) supports long-term trend strength.

⚠️ Weaknesses

Bearish Momentum: RSI at 44.8 and MACD at -4.85 suggest weakening momentum.

Valuation Concerns: P/E of 51.6 vs industry average of 24.0 and negative PEG (-3.45) imply overvaluation.

Weak ROE/ROCE: ROE at 8.48% and ROCE at 12.0% are below ideal swing trade thresholds.

Volume Drop: Current volume is below the 1-week average, indicating reduced trader interest.

FII Pullback: Decline of 0.54% in FII holdings may reflect foreign caution.

🎯 Optimal Entry Price

Entry Zone: ₹880–₹890

A pullback near the 200 DMA offers a lower-risk entry if momentum stabilizes.

🚪 Exit Strategy (If Already Holding)

Target Exit: ₹960–₹980

A reasonable upside before testing resistance near the recent high.

Stop-Loss: ₹860

Below the 200 DMA to protect against trend reversal.

🧠 Final Thought

SHYAMMETL is a technically weak but fundamentally stable swing candidate. Best suited for traders who can wait for momentum confirmation. Watch for RSI crossing 50 and MACD flattening before entering aggressively.

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