ABREL - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:54 pm

Technical Rating: 3.3

📊 Chart Patterns & Trend: ABREL is trading close to its 50 DMA (1,744 ₹) but below its 200 DMA (1,912 ₹), indicating short-term consolidation with a bearish undertone. Price action shows the stock stabilizing near 1,730–1,750 ₹ after a steep correction from highs of 2,707 ₹, with strong support around 1,563 ₹.

📈 Moving Averages: Current price (1,739 ₹) is hovering near the 50 DMA but below the 200 DMA, suggesting short-term sideways movement with long-term weakness.

📉 RSI: At 49.1, RSI is neutral, indicating balanced momentum without strong buying or selling pressure.

📊 MACD: Negative MACD (-12.4) confirms bearish momentum, highlighting caution for traders.

📊 Bollinger Bands: Price is near the mid-band, showing consolidation. A breakout above 1,760–1,780 ₹ could trigger upside, while a breakdown below 1,720 ₹ may extend weakness.

📊 Volume Trends: Current volume (1.02L) is significantly below 1-week average (1.99L), showing weak participation and lack of conviction in recent moves.

🎯 Entry Zone: 1,710–1,740 ₹ (near support and 50 DMA).

🚪 Exit Zone: 1,800–1,850 ₹ (resistance zone).

⚠️ Stop Loss: 1,680 ₹ (below recent support).

📌 Overall Trend: Consolidating with bearish bias. A reversal requires sustained move above 1,800 ₹ with strong volume.

Positive

• Quarterly PAT growth (27.5 Cr. → 24 Cr.) with 136% variation indicates operational improvement.
• EPS of 5.26 ₹ provides earnings visibility.
• Book value of 401 ₹ offers valuation cushion.

Limitation

• Stock trading below 200 DMA, showing long-term weakness.
• High P/E of 136 vs industry average of 18.1.
• Dividend yield of 0.12% is modest.
• Low ROCE (4.25%) and ROE (3.84%).
• PEG ratio of -20.5 indicates poor earnings growth relative to valuation.

Company Negative News

• DII holding reduced by -0.31%.
• MACD negative, confirming short-term bearish momentum.

Company Positive News

• Stable FII holding (0.00%).
• Quarterly profit variation of 136% shows strong improvement despite small base.

Industry

• Industry PE at 18.1, much lower than company’s valuation.
• Renewable energy sector remains promising but valuations are stretched.

Conclusion

⚖️ ABREL is consolidating near support levels with RSI suggesting neutral momentum. Entry near 1,710–1,740 ₹ offers limited upside unless price breaks above 1,800–1,850 ₹ with strong volume. Fundamentally weak with stretched valuations, making cautious accumulation advisable.