INDIACEM - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:54 pm

Technical Rating: 3.6

📊 Chart Patterns: INDIACEM is trading near its recent high (448 ₹) and above both 50 DMA (401 ₹) and 200 DMA (366 ₹), showing strong upward momentum. Price action indicates a breakout from consolidation, supported by volume.

📈 Moving Averages: Current price (435 ₹) is comfortably above both 50 DMA and 200 DMA, confirming bullish trend continuation.

📉 RSI: At 60.8, RSI is in bullish territory but not yet overbought, suggesting room for further upside.

📈 MACD: Positive (8.11) indicates strong bullish crossover, supporting upward momentum.

📊 Bollinger Bands: Price is near the upper band, suggesting strength but also caution for potential pullback.

📊 Volume Trends: Current volume (15.25 lakh) is lower than 1-week average (19.67 lakh), showing reduced participation despite price strength.

📌 Momentum Signals: Strong bullish momentum; breakout sustained if price holds above 430 ₹.

🎯 Entry Zone: 425–435 ₹ (near breakout support).

🎯 Exit Zone: 445–455 ₹ (near resistance and recent highs).

🔎 Trend Status: Trending upward with bullish bias.

Positive

• Stock trading above both 50 DMA and 200 DMA, confirming bullish trend.
• Quarterly losses reduced significantly (₹-6.86 Cr vs ₹-13.8 Cr), showing improvement.
• Strong DII inflows (+6.49%), reflecting domestic institutional confidence.
• 52-week performance up 93.9%, indicating strong investor interest.

Limitation

• Negative ROCE (-5.85%) and ROE (-9.32%) highlight weak efficiency.
• No dividend yield, reducing attractiveness for income investors.
• EPS remains negative (-17.0 ₹), showing lack of profitability.
• Volume participation lower than average, limiting breakout strength.

Company Negative News

• Persistent losses despite improvement in quarterly results.
• Weak financial efficiency metrics (ROCE, ROE).

Company Positive News

• Quarterly losses reduced by 97.2% improvement, showing turnaround signs.
• Strong DII support (+6.49%) and slight FII inflows (+0.14%).
• Stock price near 52-week highs, reflecting market confidence.

Industry

• Industry PE at 33.2 indicates sector is moderately valued.
• Cement sector demand remains strong, supported by infrastructure growth and housing projects.

Conclusion

⚖️ INDIACEM is trending upward with strong technical signals, supported by MACD and RSI. Short-term traders may consider entry around 425–435 ₹ with exit near 445–455 ₹. Long-term investors should be cautious due to negative profitability metrics, but improving quarterly results and strong institutional support suggest potential turnaround momentum.