CANBK - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | CANBK | Market Cap | 1,21,728 Cr. | Current Price | 134 ₹ | High / Low | 163 ₹ |
| Stock P/E | 6.34 | Book Value | 125 ₹ | Dividend Yield | 3.13 % | ROCE | 6.55 % |
| ROE | 18.0 % | Face Value | 2.00 ₹ | DMA 50 | 136 ₹ | DMA 200 | 134 ₹ |
| Chg in FII Hold | -0.37 % | Chg in DII Hold | 0.44 % | PAT Qtr | 4,506 Cr. | PAT Prev Qtr | 5,155 Cr. |
| RSI | 52.5 | MACD | -1.60 | Volume | 2,70,99,429 | Avg Vol 1Wk | 2,41,20,091 |
| Low price | 104 ₹ | High price | 163 ₹ | PEG Ratio | 0.27 | Debt to equity | 15.2 |
| 52w Index | 51.7 % | Qtr Profit Var | -9.94 % | EPS | 21.2 ₹ | Industry PE | 7.92 |
📊 Chart Patterns & Trend: CANBK is consolidating after a pullback from its 163 ₹ high. Current price (134 ₹) is near the 200 DMA (134 ₹), showing strong support. Resistance lies around 136–140 ₹. Trendlines suggest sideways consolidation with mild bearish undertone.
📈 Moving Averages: Price is below the 50 DMA (136 ₹) and at par with the 200 DMA (134 ₹). This indicates short-term weakness but long-term support at current levels.
📉 RSI: At 52.5, RSI is neutral, showing balanced momentum without strong buying or selling pressure.
📉 MACD: Negative (-1.60), confirming weak short-term momentum.
📊 Bollinger Bands: Price is near the mid-band, suggesting consolidation with limited volatility.
📊 Volume Trends: Current volume (2,70,99,429) is above the 1-week average (2,41,20,091), indicating strong participation despite weak momentum.
💡 Momentum Signals: Neutral to mildly bearish bias. A breakout above 136–140 ₹ could trigger upside momentum, while breakdown below 132 ₹ risks further decline.
🎯 Entry Zone: 132–134 ₹ (support region).
🎯 Exit Zone: 140–145 ₹ (resistance region).
📌 Status: Consolidating with neutral momentum.
Positive
✔ Attractive valuation with P/E (6.34) below industry PE (7.92).
✔ Strong ROE (18.0%) supports profitability.
✔ Dividend yield at 3.13% adds investor appeal.
Limitation
⚠ High debt-to-equity ratio (15.2).
⚠ Quarterly PAT declined (4,506 Cr. vs 5,155 Cr.).
⚠ Negative MACD indicates weak short-term momentum.
Company Negative News
⚠ Profitability dipped in the latest quarter (-9.94% variance).
⚠ FII holdings decreased (-0.37%), showing reduced foreign investor confidence.
Company Positive News
✔ DII holdings increased (+0.44%), signaling domestic institutional support.
✔ EPS remains strong at 21.2 ₹, supporting long-term valuation.
Industry
🏦 Banking sector benefits from credit growth and government initiatives.
📉 Rising interest rates and asset quality concerns may impact near-term performance.
Conclusion
📌 CANBK is consolidating near support with neutral momentum. Entry around 132–134 ₹ offers value, but upside capped near 140–145 ₹ unless momentum improves. Suitable for cautious swing trades; long-term investors may accumulate gradually.
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