ABB - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.1
| Stock Code | ABB | Market Cap | 1,34,270 Cr. | Current Price | 6,338 ₹ | High / Low | 6,555 ₹ |
| Stock P/E | 80.4 | Book Value | 370 ₹ | Dividend Yield | 0.62 % | ROCE | 29.9 % |
| ROE | 22.4 % | Face Value | 2.00 ₹ | DMA 50 | 5,784 ₹ | DMA 200 | 5,563 ₹ |
| Chg in FII Hold | -0.65 % | Chg in DII Hold | 0.84 % | PAT Qtr | 434 Cr. | PAT Prev Qtr | 409 Cr. |
| RSI | 63.0 | MACD | 184 | Volume | 2,98,182 | Avg Vol 1Wk | 5,78,847 |
| Low price | 4,590 ₹ | High price | 6,555 ₹ | PEG Ratio | 2.70 | Debt to equity | 0.01 |
| 52w Index | 89.0 % | Qtr Profit Var | -18.4 % | EPS | 78.7 ₹ | Industry PE | 33.5 |
📈 Chart & Trend: Current price (6,338 ₹) is above both 50 DMA (5,784 ₹) and 200 DMA (5,563 ₹), confirming strong uptrend momentum.
📊 RSI: At 63, RSI is moderately bullish, showing healthy buying strength but nearing overbought territory.
📈 MACD: Positive (+184), indicating bullish crossover and sustained momentum.
📉 Bollinger Bands: Price is near the upper band, suggesting strong momentum but potential short-term resistance.
📉 Volume: Current volume (2,98,182) is lower than 1-week average (5,78,847), showing reduced participation despite price strength.
📍 Support Levels: 6,100 ₹ (near-term), 5,800 ₹ (major support), 4,590 ₹ (long-term support).
📍 Resistance Levels: 6,400 ₹ (near-term), 6,555 ₹ (52-week high), 6,700 ₹ (potential breakout zone).
🔎 Momentum Signal: Strong bullish momentum with trend continuation signals.
📌 Trend Status: Trending upward with potential consolidation near resistance.
Positive
- Strong ROCE (29.9%) and ROE (22.4%) indicate efficient capital use.
- Low debt-to-equity ratio (0.01) ensures financial stability.
- Consistent profit growth with PAT rising from 409 Cr. to 434 Cr.
- EPS of 78.7 ₹ reflects solid earnings power.
Limitation
- High P/E (80.4) compared to industry average (33.5), indicating overvaluation risk.
- Dividend yield is modest (0.62%), offering limited income support.
- Quarterly profit variation (-18.4%) shows earnings volatility.
Company Negative News
- FII holding reduced (-0.65%), showing declining foreign investor confidence.
- Quarterly profit variation indicates short-term earnings pressure.
Company Positive News
- DII holding increased (+0.84%), reflecting strong domestic institutional support.
- Consistent PAT growth quarter-on-quarter.
Industry
- Industry P/E at 33.5 is much lower than company valuation, highlighting premium pricing.
- Sector remains strong with high demand visibility, supporting long-term growth.
Conclusion
✅ ABB is in a strong uptrend, trading above key moving averages with bullish MACD and RSI signals. Entry is favorable near 6,100–6,200 ₹ with stop-loss at 5,800 ₹. Exit zones lie around 6,400–6,555 ₹, with potential breakout beyond 6,700 ₹. Fundamentals are strong with high efficiency ratios, but valuation is stretched. Short-term traders can ride momentum with strict risk management, while long-term investors should accumulate on dips for sustained growth exposure.