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CHOLAHLDNG - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | CHOLAHLDNG | Market Cap | 31,190 Cr. | Current Price | 1,661 ₹ | High / Low | 2,299 ₹ |
| Stock P/E | 454 | Book Value | 72.2 ₹ | Dividend Yield | 0.08 % | ROCE | 6.26 % |
| ROE | 4.88 % | Face Value | 1.00 ₹ | DMA 50 | 1,799 ₹ | DMA 200 | 1,823 ₹ |
| Chg in FII Hold | -0.92 % | Chg in DII Hold | 1.03 % | PAT Qtr | 27.2 Cr. | PAT Prev Qtr | 2.11 Cr. |
| RSI | 44.0 | MACD | -57.2 | Volume | 95,545 | Avg Vol 1Wk | 2,54,987 |
| Low price | 1,357 ₹ | High price | 2,299 ₹ | PEG Ratio | 89.3 | Debt to equity | 0.00 |
| 52w Index | 32.2 % | Qtr Profit Var | 15.5 % | EPS | 3.66 ₹ | Industry PE | 22.6 |
📊 Technical Analysis
- Chart Patterns: CHOLAHLDNG has corrected from its 52-week high of 2,299 ₹ and is consolidating near 1,661 ₹.
- Moving Averages: Price (1,661 ₹) is below both 50 DMA (1,799 ₹) and 200 DMA (1,823 ₹), confirming bearish momentum.
- RSI: At 44.0, neutral to weak — closer to oversold territory.
- MACD: Negative (-57.2), reinforcing bearish sentiment.
- Bollinger Bands: Price near lower band, suggesting possible support zone.
- Volume Trends: Current volume (95,545) below 1-week average (2.55 lakh), showing weak participation.
📈 Momentum & Signals
- Short-term Momentum: Weak due to negative MACD and RSI below 50.
- Support Levels: 1,640 ₹ (near-term), 1,600 ₹ (major support).
- Resistance Levels: 1,700 ₹ (short-term), 1,799–1,823 ₹ (DMA levels).
- Optimal Entry Zone: 1,630–1,660 ₹ (close to support).
- Optimal Exit Zone: 1,700–1,800 ₹ (near resistance).
- Trend Status: Consolidating with bearish bias.
✅ Positive
- Debt-free balance sheet (Debt-to-equity 0.00) reduces financial risk.
- DII holdings increased (+1.03%), showing domestic institutional support.
- Quarterly PAT improved (27.2 Cr vs 2.11 Cr), showing strong sequential growth.
⚠️ Limitation
- Extremely high P/E (454) compared to industry PE (22.6), suggesting overvaluation.
- ROCE (6.26%) and ROE (4.88%) are weak compared to peers.
- PEG ratio (89.3) indicates poor valuation relative to growth.
📉 Company Negative News
- FII holdings decreased (-0.92%), showing reduced foreign investor confidence.
- Stock trading below both 50 DMA and 200 DMA, signaling weakness.
📈 Company Positive News
- Quarterly profit variation of 15.5% highlights resilience despite weak fundamentals.
- EPS of 3.66 ₹ supports earnings visibility, though modest.
🏭 Industry
- Financial holding sector supported by diversified investments and capital market growth.
- Industry PE at 22.6 vs stock PE at 454 — stock trades at extreme premium valuation.
🔎 Conclusion
- CHOLAHLDNG is consolidating with short-term bearish signals and extreme valuation concerns.
- Best entry near 1,630–1,660 ₹, exit near 1,700–1,800 ₹ unless breakout above 1,823 ₹ occurs.
- Medium-term outlook cautious due to weak fundamentals and overvaluation, though debt-free status and profit growth provide some support.