CHAMBLFERT - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.8

📊 Chart Patterns: CHAMBLFERT is trading below its 50 DMA (463 ₹) and 200 DMA (512 ₹), showing short-term weakness. Current price (446 ₹) is near support levels, indicating consolidation after a decline from highs (742 ₹).

📈 Moving Averages: Price < 50 DMA and < 200 DMA → bearish alignment. Trend remains weak until price crosses 463–512 ₹.

📉 RSI: At 44.7, RSI is neutral-to-weak, suggesting limited buying strength but potential for rebound near support.

📉 MACD: Negative (-8.08), confirming bearish crossover and weak momentum.

📊 Bollinger Bands: Price near lower band, suggesting oversold conditions and possible mean reversion.

📊 Volume Trends: Current volume (12,38,704) is significantly lower than 1-week average (26,96,467), showing reduced participation and lack of strong momentum.

📍 Support & Resistance:

- Strong support: 410 ₹

- Immediate resistance: 463 ₹ (50 DMA)

- Major resistance: 512 ₹ (200 DMA)

🚦 Momentum Signals: Short-term momentum is weak but oversold. Entry zone: 430–445 ₹ near support. Exit zone: 460–480 ₹ if resistance is tested. Breakout above 512 ₹ would confirm reversal attempt.

🔄 Trend Status: The stock is consolidating with bearish bias, oversold but not yet reversing.

Positive

• Low P/E (9.67) compared to industry PE (20.3), showing attractive valuation.
• Strong ROCE (27.6%) and ROE (20.3%) indicate efficient capital use.
• Dividend yield of 2.25% provides income support.
• Debt-free company (Debt-to-equity: 0.00).
• FII holdings increased (+1.23%), showing foreign investor confidence.

Limitation

• Stock trading below both 50 DMA and 200 DMA, showing weak technical strength.
• MACD negative, confirming bearish momentum.
• Volume significantly below average, indicating lack of strong buying interest.

Company Negative News

• DII holdings declined (-2.56%), showing reduced domestic institutional support.
• Quarterly PAT fell slightly (602 Cr. vs 638 Cr.).

Company Positive News

• EPS of 46.0 ₹ supports valuation comfort.
• Quarterly profit variation (+20.2%) indicates improving earnings momentum.

Industry

• Industry PE at 20.3 is higher than CHAMBLFERT’s PE (9.67), showing relative undervaluation.
• Fertilizer industry benefits from agricultural demand but is cyclical and policy-driven.

Conclusion

⚖️ CHAMBLFERT is consolidating with bearish bias, trading below key moving averages but oversold on RSI. Entry near 430–445 ₹ could be considered for short-term gains, with exit around 460–480 ₹. A breakout above 512 ₹ (200 DMA) would confirm reversal. Strong fundamentals, debt-free status, and attractive valuation support long-term holding, but near-term weakness due to declining profits and bearish technicals persists.