EMCURE - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 3.2

📉 EMCURE is currently in a reversing phase, with price action below short-term averages and weakening momentum indicators.

📊 Technical Overview

• Trend Status: Reversing — price has declined from ₹1,525 to ₹1,317, with a 52-week index of 67.3% indicating moderate underperformance.
• Moving Averages: Price is below 50 DMA (₹1,358) and hovering near 200 DMA (₹1,310), suggesting short-term weakness and medium-term support.
• RSI (42.8): Below neutral, indicating weak momentum and limited buying strength.
• MACD (-7.21): Negative crossover confirms bearish sentiment.
• Bollinger Bands: Price near lower band, suggesting oversold conditions and potential short-term support.
• Volume: Above average (2.04L vs 1.59L), indicating active trading despite weakness.

📌 Entry & Exit Zones

• Support Zone: ₹1,290–₹1,310 — potential entry zone if reversal signals strengthen.
• Resistance Zone: ₹1,360–₹1,390 — ideal for exit or partial profit booking.
• Breakout Level: ₹1,400+ — crossing this could signal trend recovery.

✅ Positive

• Strong institutional interest with DII holdings up by 1.52% and FII holdings up by 0.43%.
• EPS of ₹21.1 and consistent profitability.
• Quarterly profit variation of +210% shows significant operational improvement.
• Low debt-to-equity ratio (0.28) supports financial stability.

⚠️ Limitation

• Price trading below 50 DMA and MACD negative, indicating short-term bearish momentum.
• High P/E (62.1) and negative PEG ratio (-4.58) suggest valuation concerns.
• RSI below 50 and price near support levels reflect weak momentum.

📰 Company Negative News

• Quarterly PAT declined from ₹140 Cr to ₹125 Cr, indicating earnings moderation.

🌟 Company Positive News

• Strong institutional accumulation and significant profit variation indicate potential for recovery.

🏭 Industry

• Operates in pharmaceuticals, a sector driven by healthcare demand and regulatory cycles.
• Industry P/E (33.1) is significantly lower than the stock’s, indicating a valuation premium.

🧾 Conclusion

• EMCURE is technically weak in the short term with bearish indicators and declining price action.
• Entry near ₹1,290–₹1,310 may be considered if reversal signs emerge; watch for breakout above ₹1,400.
• Long-term investors may hold for fundamentals and institutional support; short-term traders should remain cautious.