GODREJAGRO - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.2

📈 Technical Analysis

• 📉 Chart Pattern: GODREJAGRO is in a short-term downtrend, forming lower highs and lower lows after peaking at 876 ₹.
• 📉 Moving Averages: Price is below both 50-DMA (701 ₹) and 200-DMA (734 ₹), indicating bearish momentum.
• 📉 RSI (40.4): In the lower neutral zone, suggesting weak buying interest and potential for further downside.
• 📉 MACD (-12.6): Negative crossover, confirming bearish sentiment.
• 📉 Bollinger Bands: Price near lower band, indicating oversold conditions but no strong reversal signal yet.
• 📈 Volume Trend: Current volume (1.88L) is above 1-week average (1.30L), suggesting increased activity — possibly accumulation or panic selling.

📍 Entry & Exit Zones

• ✅ Entry Zone: 645 ₹ – 660 ₹ (near recent support and oversold zone)
• 🚪 Exit Zone: 700 ₹ – 720 ₹ (resistance from 50-DMA and prior breakdown level)

📊 Trend Status

• 📉 Current Trend: Reversing from uptrend to short-term bearish
• ⚠️ Bias: Bearish unless RSI crosses 50 and price reclaims 50-DMA

✅ Positive

• Strong ROCE (24.4%) and ROE (20.9%) indicate efficient capital use.
• Quarterly PAT rose from 68.1 Cr. to 169 Cr. — a 23.8% increase.
• DII holding increased by 0.21%, showing domestic institutional support.

⚠️ Limitation

• Price trading below key moving averages — weak technical structure.
• MACD and RSI both signal bearish momentum.
• PEG ratio (2.01) suggests overvaluation relative to growth.

📉 Company Negative News

• FII holding dropped by 0.06%, indicating slight foreign investor caution.

📈 Company Positive News

• Strong quarterly earnings and improving domestic institutional interest support long-term outlook.

🏭 Industry

• Agribusiness and FMCG sector remains defensive but sensitive to rural demand and input cost pressures.
• GODREJAGRO trades above industry PE (23.8 vs 19.1), reflecting premium valuation expectations.

🧾 Conclusion

• GODREJAGRO is reversing with bearish technical indicators despite strong fundamentals.
• Short-term traders may consider entries near 650 ₹ and exits near 720 ₹.
• Long-term investors should monitor price action and volume recovery before adding exposure.