JSWENERGY - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.2

📊 Chart Patterns & Trend: JSWENERGY is trading below both its 50 DMA (498 ₹) and 200 DMA (524 ₹), reflecting short-term weakness. The price has corrected significantly from its 52-week high of 686 ₹ and is consolidating near support zones.

📈 Moving Averages: Current price (478 ₹) is below both short-term and long-term averages, confirming bearish undertones. Sustained trading below 500 ₹ signals resistance overhead.

📉 RSI: At 42.2, RSI is in neutral-to-weak territory, suggesting limited momentum and no immediate oversold bounce.

📉 MACD: Negative at -10.2, confirming bearish sentiment and lack of strong upward momentum.

📊 Bollinger Bands: Price is closer to the lower band, indicating oversold conditions and potential for mean reversion if buying emerges.

📊 Volume Trends: Current volume (20,86,209) is below average weekly volume (25,07,695), showing reduced participation and lack of strong conviction from buyers.

🎯 Momentum Signals: Weak short-term signals with bearish bias. Oversold Bollinger positioning hints at possible rebound, but confirmation is needed.

💹 Entry Zone: 450–465 ₹ (near strong support levels).

💹 Exit Zone: 500–520 ₹ (resistance near DMA levels).

📌 Overall Trend: The stock is in a consolidation phase with bearish undertones, awaiting stronger volume for reversal.

Positive

• Quarterly PAT improved to 190 Cr. from 162 Cr.
• DII holdings increased by 0.13%, showing domestic institutional confidence.
• Debt-to-equity ratio of 0.61 indicates manageable leverage.

Limitation

• High P/E of 80.8 compared to industry average (26.7).
• ROCE (5.82%) and ROE (6.24%) are relatively weak.
• Volume below average, indicating lack of strong buying interest.

Company Negative News

• Quarterly profit variation declined (-33.4%), showing earnings pressure.
• FII holdings decreased by 0.24%, reflecting reduced foreign investor confidence.

Company Positive News

• Quarterly PAT growth from 162 Cr. to 190 Cr. shows operational improvement.
• DII holdings increased, reflecting domestic support.

Industry

• Industry PE at 26.7 is much lower than JSWENERGY’s valuation, suggesting sector peers are more attractively priced.
• Power sector remains cyclical but benefits from renewable energy expansion and government infrastructure push.

Conclusion

⚖️ JSWENERGY is consolidating below key moving averages with bearish signals. Entry around 450–465 ₹ offers favorable risk-reward, while exits near 500–520 ₹ are optimal. Long-term investors should be cautious due to high valuations and weak return ratios, but short-term traders may find opportunities in oversold conditions.