EICHERMOT - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 19 Sept 25, 2:16 pm

Technical Rating: 4.6

Here’s a detailed technical analysis of EICHERMOT (Eicher Motors Ltd.)

📊 Trend Overview

Current Trend: Strongly trending upward

Price is near its 52-week high (₹6,954), indicating bullish momentum.

RSI at 76.9 is in overbought territory, suggesting strong momentum but caution for short-term pullbacks.

MACD at 292 shows a powerful positive crossover, confirming trend strength.

📈 Technical Indicators

Moving Averages

Price (₹6,916) > 50 DMA (₹6,138) > 200 DMA (₹5,502): Golden crossover confirmed

RSI (76.9)

Overbought zone. Momentum is strong but may face resistance or consolidation.

MACD (292)

Strong positive crossover. Momentum is accelerating.

Bollinger Bands

Price near upper band, indicating strength but also short-term resistance.

Volume Trends

Current volume (2.29L) < 1-week average (4.82L): Momentum slowing slightly

Suggests reduced participation, possibly due to profit booking.

🔍 Short-Term Momentum Signals

Bullish Bias with Overbought Caution

MACD and price action support continued upside.

RSI suggests strength but warns of potential short-term exhaustion.

FII inflows (+0.80%) add to sentiment despite DII trimming (-0.88%).

📌 Support & Resistance Zones

Level Price (₹) Commentary

Support 1 6,600 Minor pullback zone

Support 2 6,138 50 DMA, short-term base

Resistance 1 6,954 52-week high

Resistance 2 7,100 Psychological barrier

Resistance 3 7,250 Projected breakout target

🎯 Entry & Exit Zones

Optimal Entry: ₹6,150–₹6,300 (on dips near support)

Exit Zone: ₹6,950–₹7,100 (partial profit booking)

Aggressive Target: ₹7,250+ if breakout above 52-week high sustains

🧭 Summary

Trend: Bullish and strongly trending upward

Momentum: High, supported by MACD, RSI, and moving averages

Outlook: Favorable for short-term momentum trades; watch for consolidation near ₹6,950

Valuation: Elevated P/E (42.2) vs industry (33.4), strong ROE/ROCE, low debt, and solid profit growth (+20.1%) support continued technical strength

Let me know if you’d like a simulated trade setup or visual chart based on this analysis.

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