GPIL - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 4.2

📈 Technical Analysis

• 📈 Chart Pattern: GPIL is in a strong uptrend, recently testing its 52-week high of 291 ₹ with bullish continuation patterns.
• 📈 Moving Averages: Price is well above both 50-DMA (247 ₹) and 200-DMA (214 ₹), confirming strong bullish momentum.
• 📈 RSI (75.3): In overbought territory — indicates strong momentum but also potential for short-term pullback.
• 📈 MACD (8.91): Positive crossover, reinforcing bullish trend strength.
• 📈 Bollinger Bands: Price near upper band, suggesting breakout potential but also elevated volatility.
• 📉 Volume Trend: Current volume (21.15L) is below 1-week average (53.56L), indicating reduced participation — a cautionary signal.

📍 Entry & Exit Zones

• ✅ Entry Zone: 270 ₹ – 275 ₹ (near minor support and breakout retest zone)
• 🚪 Exit Zone: 290 ₹ – 295 ₹ (resistance from 52-week high)

📊 Trend Status

• 📈 Current Trend: Trending upward
• ⚠️ Bias: Bullish with caution due to overbought RSI and low volume

✅ Positive

• Strong ROCE (23.4%) and ROE (17.1%) reflect efficient capital deployment.
• Price above key moving averages supports bullish structure.
• FII holding increased by 0.12%, indicating foreign investor confidence.

⚠️ Limitation

• RSI above 75 — overbought zone, risk of short-term correction.
• Volume below average — momentum may not be fully supported.
• Negative PEG ratio (-1.76) and declining PAT suggest valuation concerns.

📉 Company Negative News

• Quarterly PAT declined from 204 Cr. to 200 Cr. — a 27% drop in profit variation.
• DII holding dropped by 0.24%, indicating reduced domestic institutional interest.

📈 Company Positive News

• Stock trading near 52-week high with strong technical momentum.
• Low debt-to-equity ratio (0.06) indicates financial prudence.

🏭 Industry

• Metals and mining sector remains cyclical with sensitivity to global commodity prices.
• GPIL trades slightly above industry PE (27.3 vs 24.2), reflecting premium valuation.

🧾 Conclusion

• GPIL is in a strong uptrend with bullish technical indicators and solid fundamentals.
• Short-term traders may consider entries near 275 ₹ and exits near 295 ₹.
• Long-term investors should monitor earnings consistency and volume strength before adding exposure.