ELECON - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 4.3

Here’s a detailed technical analysis of ELECON Engineering Company Ltd.

📊 Trend Overview

Current Trend: Trending upward with mild consolidation

Price is above both 50 DMA (₹586) and 200 DMA (₹578), confirming a bullish structure.

RSI at 63.6 indicates strong momentum, approaching overbought territory.

MACD at 12.1 shows a positive crossover, reinforcing bullish sentiment.

📈 Technical Indicators

Moving Averages

Price (₹620) > 50 DMA (₹586) > 200 DMA (₹578): Golden crossover confirmed

RSI (63.6)

Bullish zone. Momentum is strong but nearing short-term exhaustion.

MACD (12.1)

Positive crossover. Momentum is accelerating.

Bollinger Bands

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

Volume Trends

Current volume (2.68L) < 1-week average (5.96L): Declining participation

Indicates mild consolidation or profit booking.

🔍 Short-Term Momentum Signals

Bullish Bias with Mild Caution

MACD and price action support continued upside.

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

FII inflows (+0.96%) add to sentiment despite DII trimming (-0.59%).

📌 Support & Resistance Zones

Level Price (₹) Commentary

Support 1 586 50 DMA, short-term base

Support 2 560 Previous swing low

Resistance 1 640 Minor psychological barrier

Resistance 2 685 Recent swing high

Resistance 3 739 52-week high

🎯 Entry & Exit Zones

Optimal Entry: ₹580–₹600 (on dips near support)

Exit Zone: ₹685–₹739 (partial profit booking)

Aggressive Target: ₹760+ if breakout above 52-week high sustains

🧭 Summary

Trend: Bullish and trending upward

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

Outlook: Favorable for swing trades; breakout above ₹640 could trigger next rally

Valuation: Reasonable P/E (35.6) vs industry (49.5), strong ROE/ROCE, low debt, and robust profit growth (+93.6%) 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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