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ACE - Technical Analysis with Chart Patterns & Indicators

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Rating: 4

Last Updated Time : 28 May 26, 06:22 pm

Technical Rating: 4.0

Stock Code ACE Market Cap 10,833 Cr. Current Price 909 ₹ High / Low 1,305 ₹
Stock P/E 25.5 Book Value 0.00 ₹ Dividend Yield 0.22 % ROCE 73.0 %
ROE 53.3 % Face Value 2.00 ₹ DMA 50 886 ₹ DMA 200 960 ₹
Chg in FII Hold -0.82 % Chg in DII Hold 0.08 % PAT Qtr 109 Cr. PAT Prev Qtr 116 Cr.
RSI 54.8 MACD 1.78 Volume 1,89,332 Avg Vol 1Wk 3,46,642
Low price 745 ₹ High price 1,305 ₹ PEG Ratio 0.66 Debt to equity 0.01
52w Index 29.3 % Qtr Profit Var -8.08 % EPS 35.7 ₹ Industry PE 35.9

📈 Chart Patterns: ACE is trending upward, trading above its 50 DMA (886 ₹) but slightly below 200 DMA (960 ₹), showing short-term strength with medium-term resistance.

📊 Moving Averages: Current price (909 ₹) is above 50 DMA, reflecting bullish bias, but needs to cross 200 DMA for stronger confirmation.

📉 RSI: At 54.8, RSI indicates neutral-to-positive momentum, not yet overbought.

📈 MACD: Positive at 1.78, confirming mild bullish crossover and short-term upward momentum.

📊 Bollinger Bands: Price is mid-band, signaling consolidation with potential breakout if volume improves.

📉 Volume Trends: Current volume (1,89,332) is below average weekly volume (3,46,642), showing weaker participation in the current move.

🎯 Entry Zone: 880 ₹ – 900 ₹ (near 50 DMA support)

🚪 Exit Zone: 950 ₹ – 970 ₹ (resistance near 200 DMA)

📌 Trend Status: Consolidating with bullish bias

Positive

  • Strong ROCE (73%) and ROE (53.3%) highlight efficiency
  • EPS at 35.7 ₹ supports earnings strength
  • PEG ratio at 0.66 indicates attractive growth-adjusted valuation
  • Debt-to-equity ratio at 0.01 shows financial stability

Limitation

  • Price still below 200 DMA, medium-term resistance intact
  • Quarterly PAT declined (116 Cr → 109 Cr)
  • Volume participation below average
  • Book value not reported, limiting valuation clarity

Company Negative News

  • FII holdings declined (-0.82%)
  • Quarterly profit fell by -8.08%

Company Positive News

  • DII holdings increased (+0.08%)
  • Strong efficiency metrics (ROE/ROCE)
  • Stock rebounded from 745 ₹ low to 909 ₹

Industry

  • Industry PE at 35.9 highlights sector trading at higher valuations compared to ACE
  • Construction and engineering sector showing cyclical demand recovery

Conclusion

⚖️ ACE is consolidating with bullish signals supported by MACD, RSI, and price above 50 DMA. Entry near 880–900 ₹ offers favorable risk-reward, while resistance at 950–970 ₹ may cap short-term upside. Long-term investors may find value in strong efficiency and low debt, but weaker profit growth and FII outflows warrant caution.

I can extend this into a swing trade strategy with holding period guidance, or prepare a peer benchmarking overlay comparing ACE’s valuation and momentum against construction sector peers.

Technical Analysis
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