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JWL - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.8

Last Updated Time : 02 Feb 26, 09:51 am

Technical Rating: 3.8

Stock Code JWL Market Cap 12,975 Cr. Current Price 303 ₹ High / Low 457 ₹
Stock P/E 46.2 Book Value 65.8 ₹ Dividend Yield 0.33 % ROCE 21.5 %
ROE 17.0 % Face Value 10.0 ₹ DMA 50 310 ₹ DMA 200 338 ₹
Chg in FII Hold 0.06 % Chg in DII Hold -0.28 % PAT Qtr 52.7 Cr. PAT Prev Qtr 32.9 Cr.
RSI 46.0 MACD 2.48 Volume 1,14,60,607 Avg Vol 1Wk 55,35,491
Low price 247 ₹ High price 457 ₹ PEG Ratio 0.49 Debt to equity 0.21
52w Index 26.6 % Qtr Profit Var -40.5 % EPS 6.61 ₹ Industry PE 50.0

📊 Chart Patterns & Trend: The stock is currently trading at ₹303, below both its 50 DMA (₹310) and 200 DMA (₹338), indicating mild bearish pressure. Price action suggests consolidation near support zones.

📈 Moving Averages: Short-term trend is weak as the price is under both 50 DMA and 200 DMA. A crossover above ₹310 would signal momentum recovery.

📉 RSI: At 46, RSI is neutral, neither overbought nor oversold. This suggests sideways consolidation with potential for upward momentum if volume sustains.

📊 MACD: Positive at 2.48, showing early bullish divergence. Momentum could strengthen if price sustains above ₹310.

📊 Bollinger Bands: Price is near the lower band, indicating limited downside and potential for mean reversion toward ₹320–₹330.

📊 Volume Trends: Current volume (1.14 Cr) is significantly higher than average weekly volume (55.3 Lakh), suggesting accumulation and possible breakout attempts.

🎯 Entry Zone: ₹295–₹305 (near support and lower Bollinger band).

🎯 Exit Zone: ₹335–₹345 (near resistance and 200 DMA).

📌 Trend Status: Consolidating with mild bullish bias. Breakout above ₹310–₹315 could trigger short-term uptrend.


Positive

  • Strong ROCE (21.5%) and ROE (17%) indicate efficient capital use.
  • PEG ratio of 0.49 suggests undervaluation relative to growth.
  • Low debt-to-equity (0.21) supports financial stability.
  • High trading volume signals investor interest.

Limitation

  • Stock P/E (46.2) is slightly below industry PE (50), but still high compared to fundamentals.
  • Price below both 50 DMA and 200 DMA indicates weak momentum.
  • Quarterly profit variation (-40.5%) raises concerns on earnings consistency.

Company Negative News

  • Recent quarterly profit decline compared to previous quarter.
  • DII holdings decreased (-0.28%), showing reduced domestic institutional confidence.

Company Positive News

  • PAT improved to ₹52.7 Cr from ₹32.9 Cr in the previous quarter.
  • FII holdings increased (+0.06%), showing foreign investor interest.

Industry

  • Industry PE at 50 indicates sector is valued at premium levels.
  • Stock PEG ratio suggests better growth potential compared to peers.

Conclusion

⚖️ JWL is consolidating near support levels with neutral RSI and positive MACD divergence. Entry near ₹295–₹305 offers favorable risk-reward, while exits around ₹335–₹345 align with resistance. Sustained volume and breakout above ₹310–₹315 could confirm trend reversal toward bullish momentum.

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