JMFINANCIL - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:55 pm

Technical Rating: 3.6

📊 Chart Patterns & Trend: JMFINANCIL is trading below its 50 DMA (153 ₹) and slightly below its 200 DMA (148 ₹), showing short-term weakness but long-term support around 140–150 ₹. The price action suggests consolidation after a decline from highs.

📈 Moving Averages: Current price (143 ₹) is under both 50 DMA and 200 DMA, indicating bearish undertones. However, the 200 DMA is close, suggesting possible stabilization.

📉 RSI: At 43.9, RSI is in neutral-to-weak territory, not oversold but lacking strong momentum.

📉 MACD: Negative at -3.24, confirming bearish sentiment and absence of strong upward momentum.

📊 Bollinger Bands: Price is near the lower band, indicating oversold conditions and potential for mean reversion.

📊 Volume Trends: Current volume (43,85,764) is significantly higher than average weekly volume (29,14,789), showing strong activity, possibly accumulation at lower levels.

🎯 Momentum Signals: Weak short-term signals, but high volume and Bollinger Band positioning suggest potential rebound if buying continues.

💹 Entry Zone: 135–140 ₹ (near support at 200 DMA).

💹 Exit Zone: 155–165 ₹ (resistance near 50 DMA).

📌 Overall Trend: The stock is in consolidation phase with bearish bias, but strong volume hints at possible reversal attempts.

Positive

• Dividend yield of 1.91% provides income appeal.
• Low debt-to-equity ratio of 0.01 shows strong balance sheet.
• FII holdings increased by 0.69%, reflecting foreign investor confidence.
• EPS of 6.11 ₹ with ROE of 12.6% indicates decent profitability.

Limitation

• Stock P/E of 23.4 is higher than industry average (18.7).
• Quarterly profit variation at -20.4% shows earnings volatility.
• Price trading below both moving averages signals weak momentum.

Company Negative News

• Quarterly PAT declined to 246 Cr. from 332 Cr. previously, showing earnings pressure.
• DII holdings decreased by 0.92%, reflecting reduced domestic institutional confidence.

Company Positive News

• Strong quarterly PAT of 246 Cr. compared to 133 Cr. in the prior quarter.
• FII holdings increased, showing foreign investor interest.
• High trading volume indicates accumulation interest at lower levels.

Industry

• Industry PE at 18.7 is lower than JMFINANCIL’s P/E, suggesting peers are more attractively valued.
• Financial services sector benefits from credit growth and rising retail participation.

Conclusion

⚖️ JMFINANCIL is consolidating near support levels with bearish signals but strong volume activity. Entry around 135–140 ₹ offers favorable risk-reward, while exits near 155–165 ₹ are optimal. Long-term investors should monitor earnings consistency and valuation relative to industry peers.