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CHENNPETRO - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.8
| Stock Code | CHENNPETRO | Market Cap | 12,869 Cr. | Current Price | 864 ₹ | High / Low | 1,103 ₹ |
| Stock P/E | 6.17 | Book Value | 574 ₹ | Dividend Yield | 0.59 % | ROCE | 4.04 % |
| ROE | 2.10 % | Face Value | 10.0 ₹ | DMA 50 | 858 ₹ | DMA 200 | 793 ₹ |
| Chg in FII Hold | 4.07 % | Chg in DII Hold | -1.58 % | PAT Qtr | 987 Cr. | PAT Prev Qtr | 732 Cr. |
| RSI | 46.7 | MACD | -4.34 | Volume | 6,36,647 | Avg Vol 1Wk | 21,89,608 |
| Low price | 433 ₹ | High price | 1,103 ₹ | PEG Ratio | -0.12 | Debt to equity | 0.23 |
| 52w Index | 64.4 % | Qtr Profit Var | 9,338 % | EPS | 142 ₹ | Industry PE | 9.25 |
📊 Technical Analysis
- Chart Patterns: CHENNPETRO has corrected from its 52-week high of 1,103 ₹ and is consolidating near 864 ₹.
- Moving Averages: Price (864 ₹) is slightly above 50 DMA (858 ₹) but below 200 DMA (793 ₹), showing medium-term strength but short-term weakness.
- RSI: At 46.7, neutral zone — neither overbought nor oversold.
- MACD: Negative (-4.34), indicating mild bearish momentum.
- Bollinger Bands: Price near mid-band, suggesting consolidation.
- Volume Trends: Current volume (6.36 lakh) below 1-week average (21.9 lakh), showing weak participation.
📈 Momentum & Signals
- Short-term Momentum: Weak due to negative MACD and RSI below 50.
- Support Levels: 850 ₹ (near-term), 820 ₹ (major support).
- Resistance Levels: 875 ₹ (50 DMA), 900 ₹ (psychological resistance).
- Optimal Entry Zone: 840–860 ₹ (close to support).
- Optimal Exit Zone: 880–900 ₹ (near resistance).
- Trend Status: Consolidating with mild bearish bias.
✅ Positive
- Low P/E (6.17) compared to industry PE (9.25), indicating undervaluation.
- EPS of 142 ₹ supports strong earnings visibility.
- Quarterly PAT improved (987 Cr vs 732 Cr), showing sequential growth.
⚠️ Limitation
- ROCE (4.04%) and ROE (2.10%) are weak compared to peers.
- PEG ratio (-0.12) indicates poor valuation relative to growth.
- Volume participation remains low, reducing conviction in price moves.
📉 Company Negative News
- DII holdings decreased (-1.58%), showing reduced domestic institutional confidence.
- 52-week index at 64.4% indicates stock trading well below its peak.
📈 Company Positive News
- FII holdings increased (+4.07%), reflecting foreign investor confidence.
- Quarterly profit variation of 9,338% highlights strong turnaround performance.
🏭 Industry
- Petrochemical and refining sector supported by global energy demand.
- Industry PE at 9.25 vs stock PE at 6.17 — stock trades at discount valuation.
🔎 Conclusion
- CHENNPETRO is consolidating with short-term bearish signals but strong earnings momentum.
- Best entry near 840–860 ₹, exit near 880–900 ₹ unless breakout above 900 ₹ occurs.
- Medium-term outlook cautious due to weak ROCE/ROE, though valuation discount and profit growth provide support.