ASTRAZEN - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.4

📊 Chart Patterns: ASTRAZEN is trading near its 50 DMA (9,112 ₹) and above its 200 DMA (8,663 ₹), reflecting medium-term strength but short-term weakness. Current price (9,092 ₹) is near support at 9,000–9,100 ₹, with resistance around 9,300–9,500 ₹ and major resistance at 10,691 ₹.

📈 Moving Averages: Price above the 200 DMA indicates long-term strength, but failure to hold above the 50 DMA suggests consolidation.

📉 RSI: At 48.2, RSI is neutral, suggesting balanced momentum without strong overbought or oversold signals.

📉 MACD: Negative at -26.0, confirming short-term bearish momentum despite overall stability.

📊 Bollinger Bands: Price is near the mid-band, indicating consolidation with potential breakout toward the upper band.

📊 Volume Trends: Current volume (3,969) is slightly higher than average weekly volume (2,962), showing steady participation but not strong accumulation.

📌 Momentum Signals: Short-term bounce possible from 9,000–9,100 ₹ support, but trend remains weak unless price sustains above 9,300–9,500 ₹.

🎯 Entry Zone: 9,000–9,100 ₹ (near support, neutral RSI).

🎯 Exit Zone: 9,300–9,500 ₹ (short-term resistance), extended resistance at 10,500–10,691 ₹.

🔎 Trend Status: Currently consolidating with mild bearish bias. Reversal requires breakout above 9,500–10,000 ₹.

Positive

• Strong ROCE (33.4%) and ROE (23.6%) highlight efficient capital use.
• EPS of 79.7 ₹ supports earnings strength.
• DII holdings increased (+0.71%), showing domestic institutional support.
• Low debt-to-equity ratio (0.04) ensures financial stability.

Limitation

• High P/E ratio (98.3) compared to industry PE (30.6), indicating expensive valuation.
• PEG ratio of 2.27 suggests stretched valuation relative to growth.
• MACD negative, showing short-term weakness.
• Volume participation remains modest, limiting strong breakout signals.

Company Negative News

• Stock has corrected from its 52-week high (10,691 ₹ to 9,092 ₹).
• FII holdings decreased (-0.29%), showing reduced foreign investor confidence.

Company Positive News

• Quarterly PAT improved (58.1 Cr. vs 56.1 Cr.).
• Quarterly profit growth (+51.3% YoY) shows strong operational performance.
• DII holdings increased, reflecting domestic institutional confidence.

Industry

• Industry PE at 30.6 is much lower than ASTRAZEN’s P/E, highlighting premium valuation.
• Pharmaceutical sector outlook remains positive with strong demand drivers globally.

Conclusion

⚖️ ASTRAZEN is consolidating near support with neutral RSI and weak short-term momentum. Traders may consider entry around 9,000–9,100 ₹ with exit near 9,300–9,500 ₹. Long-term investors should be cautious of stretched valuations but can hold for potential breakout above 10,000–10,691 ₹ for extended gains.