COHANCE - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.8
| Stock Code | COHANCE | Market Cap | 16,343 Cr. | Current Price | 427 ₹ | High / Low | 1,121 ₹ |
| Stock P/E | 65.3 | Book Value | 117 ₹ | Dividend Yield | 0.00 % | ROCE | 10.4 % |
| ROE | 7.36 % | Face Value | 1.00 ₹ | DMA 50 | 407 ₹ | DMA 200 | 555 ₹ |
| Chg in FII Hold | -0.42 % | Chg in DII Hold | 0.22 % | PAT Qtr | 44.7 Cr. | PAT Prev Qtr | 50.8 Cr. |
| RSI | 51.8 | MACD | 9.21 | Volume | 3,45,385 | Avg Vol 1Wk | 10,09,093 |
| Low price | 267 ₹ | High price | 1,121 ₹ | PEG Ratio | -4.09 | Debt to equity | 0.03 |
| 52w Index | 18.8 % | Qtr Profit Var | -66.8 % | EPS | 5.98 ₹ | Industry PE | 31.6 |
📊 Chart Patterns & Trend: COHANCE is consolidating after a steep decline from its 1,121 ₹ high. Current price (427 ₹) is above the 50 DMA (407 ₹) but below the 200 DMA (555 ₹), showing short-term strength but medium-term weakness. Support lies near 410–420 ₹, with resistance at 440–460 ₹. Trendlines suggest sideways consolidation with mild bullish undertone.
📈 Moving Averages: Price above 50 DMA indicates short-term strength, but trading below 200 DMA signals medium-term caution.
📉 RSI: At 51.8, RSI is neutral, showing balanced momentum.
📈 MACD: Positive (9.21), confirming mild bullish momentum.
📊 Bollinger Bands: Price is near the mid-band, suggesting consolidation with potential breakout.
📊 Volume Trends: Current volume (3,45,385) is well below the 1-week average (10,09,093), showing weak participation and lack of breakout strength.
💡 Momentum Signals: Neutral to mildly bullish bias. A breakout above 440–460 ₹ could trigger upside toward 480–500 ₹, while breakdown below 410 ₹ risks further decline.
🎯 Entry Zone: 410–420 ₹ (support region).
🎯 Exit Zone: 440–460 ₹ (resistance region; extended target 480–500 ₹).
📌 Status: Consolidating with weak momentum.
Positive
✔ EPS of 5.98 ₹ supports valuation strength despite volatility.
✔ Debt-to-equity ratio of 0.03 indicates negligible leverage.
✔ Price trading above 50 DMA shows short-term recovery.
✔ DII holdings increased (+0.22%), reflecting domestic institutional support.
Limitation
⚠ Price trading below 200 DMA, showing medium-term weakness.
⚠ High P/E (65.3) compared to industry PE (31.6), suggesting overvaluation.
⚠ PEG ratio (-4.09) indicates poor growth prospects relative to valuation.
⚠ Volume significantly below average, limiting breakout potential.
⚠ ROCE (10.4%) and ROE (7.36%) are modest compared to peers.
Company Negative News
⚠ Quarterly PAT declined (44.7 Cr. vs 50.8 Cr.), highlighting earnings weakness.
⚠ FII holdings decreased (-0.42%), showing reduced foreign investor confidence.
Company Positive News
✔ Domestic institutional inflows (+0.22%) reflect confidence.
✔ Technical recovery above 50 DMA supports short-term momentum.
Industry
🏭 Specialty chemicals sector benefits from industrial demand but faces margin pressures.
📈 Industry PE (31.6) lower than COHANCE’s PE (65.3), highlighting valuation premium.
Conclusion
📌 COHANCE is consolidating near support with weak momentum. Entry around 410–420 ₹ offers tactical opportunity, while exits near 440–460 ₹ are prudent unless momentum strengthens for a breakout toward 480–500 ₹. Long-term investors should be cautious of overvaluation and earnings weakness, while traders may exploit short-term consolidation opportunities.
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