DMART - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | DMART | Market Cap | 2,69,164 Cr. | Current Price | 4,127 ₹ | High / Low | 4,950 ₹ |
| Stock P/E | 83.5 | Book Value | 391 ₹ | Dividend Yield | 0.00 % | ROCE | 17.5 % |
| ROE | 13.5 % | Face Value | 10.0 ₹ | DMA 50 | 4,233 ₹ | DMA 200 | 4,120 ₹ |
| Chg in FII Hold | 0.29 % | Chg in DII Hold | -0.06 % | PAT Qtr | 725 Cr. | PAT Prev Qtr | 923 Cr. |
| RSI | 36.6 | MACD | -62.7 | Volume | 2,36,111 | Avg Vol 1Wk | 3,49,881 |
| Low price | 3,529 ₹ | High price | 4,950 ₹ | PEG Ratio | 10.3 | Debt to equity | 0.09 |
| 52w Index | 42.1 % | Qtr Profit Var | 16.9 % | EPS | 49.4 ₹ | Industry PE | 42.6 |
- 📈 Chart Patterns: DMART is trading at 4,127 ₹, showing weakness after testing highs of 4,950 ₹. Support lies around 4,050–4,100 ₹, resistance near 4,250–4,300 ₹. Trendlines suggest a corrective phase with potential consolidation.
- 📊 Moving Averages: Price is below 50 DMA (4,233 ₹) but near 200 DMA (4,120 ₹), indicating short-term weakness but long-term support.
- 📉 RSI: At 36.6, RSI is in oversold territory, suggesting limited downside and potential rebound.
- 📉 MACD: Negative (-62.7), confirming bearish momentum in the short term.
- 📊 Bollinger Bands: Price is near the lower band, indicating oversold conditions and possible mean reversion.
- 📊 Volume Trends: Current volume (2,36,111) is below weekly average (3,49,881), showing reduced participation and weak conviction.
- 📌 Momentum Signals: Entry zone around 4,050–4,100 ₹; exit zone near 4,250–4,300 ₹.
- 🔄 Trend Status: Reversing from bullish highs into corrective consolidation.
Positive
- Strong ROCE (17.5%) and ROE (13.5%) support fundamentals.
- EPS of 49.4 ₹ provides earnings base.
- FII holdings increased (+0.29%), showing foreign investor confidence.
Limitation
- Very high P/E (83.5) compared to industry average (42.6).
- RSI oversold but MACD negative, showing conflicting signals.
- No dividend yield, limiting shareholder return.
Company Negative News
- PAT declined (725 Cr. vs 923 Cr.), showing earnings pressure.
- DII holdings decreased (-0.06%), reflecting reduced domestic support.
Company Positive News
- Long-term uptrend intact with price near 200 DMA support.
- FII inflows provide stability.
Industry
- Industry P/E at 42.6 highlights sector trading at lower multiples.
- Retail sector remains resilient with steady demand outlook.
Conclusion
DMART is in a corrective phase with RSI oversold and MACD negative, suggesting short-term weakness but potential rebound near support. Entry around 4,050–4,100 ₹ offers tactical positioning, with exit near 4,250–4,300 ₹. Valuation remains stretched, so trades should be managed cautiously with strict stop-loss discipline.
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