JMFINANCIL - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.1

📉 JMFINANCIL is showing signs of short-term weakness with bearish momentum and declining volume, suggesting a possible reversal or consolidation phase.

📊 Technical Analysis

• Trend: The stock is reversing from its recent highs and currently consolidating near the 50 DMA.
• Moving Averages: Price is below the 50 DMA (₹171) but above the 200 DMA (₹149), indicating mixed sentiment.
• RSI (39.6): Near oversold territory, suggesting potential for a bounce but not yet a strong buy signal.
• MACD (-1.60): Negative crossover, confirming bearish momentum.
• Bollinger Bands: Price is approaching the lower band, indicating possible support but also volatility.
• Volume: Current volume (23.6L) is slightly below 1-week average (24.9L), showing reduced trading interest.

🎯 Entry & Exit Zones

• Support Zone: ₹160 – ₹165 (recent consolidation base)
• Resistance Zone: ₹171 – ₹175 (50 DMA and psychological level)
• Optimal Entry: ₹162 – ₹166 (if RSI stabilizes and MACD flattens)
• Exit Target: ₹175 – ₹180 (short-term recovery zone)

✅ Positive

• Quarterly PAT increased slightly from ₹132 Cr. to ₹133 Cr., showing earnings stability.
• ROCE (12.8%) and ROE (12.6%) indicate efficient capital use.
• EPS of ₹6.67 and PEG ratio of 1.40 suggest reasonable valuation relative to growth.
• Debt-to-equity ratio of 0.01 reflects strong financial health.

⚠️ Limitation

• RSI and MACD indicate weak momentum and potential further downside.
• Price is below the 50 DMA, signaling short-term bearish sentiment.
• DII holding decreased by 0.92%, showing reduced domestic institutional interest.

📉 Company Negative News

• Stock has pulled back from its high of ₹200 to ₹168, indicating loss of momentum.
• Volume trends suggest waning interest at current levels.

📈 Company Positive News

• FII holding increased by 0.69%, signaling foreign investor confidence.
• Quarterly profit variance of 285% highlights strong earnings growth trajectory.

🏦 Industry

• Industry P/E is 21.3, slightly below JMFINANCIL’s 25.2, suggesting moderate overvaluation.
• Financial services sector remains sensitive to interest rate cycles and macroeconomic trends.

🧾 Conclusion

• JMFINANCIL is currently consolidating with weak technical indicators and bearish momentum.
• Short-term traders should wait for RSI to rise above 45 and MACD to flatten before entering.
• Long-term investors may consider accumulating near ₹165 with a target of ₹180, keeping stop-loss below ₹160.