KALYANKJIL - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.9

📈 KALYANKJIL is trending upward with bullish momentum indicators and strong quarterly performance, though volume divergence and resistance near highs suggest caution.

📊 Technical Analysis

• Trend: The stock is trending upward, trading above its 50 DMA (₹503) and approaching the 200 DMA (₹529), indicating bullish sentiment.
• Moving Averages: Price is above 50 DMA and nearing 200 DMA, suggesting strength with potential breakout.
• RSI (59.3): Bullish zone, indicating strong momentum but not yet overbought.
• MACD (4.26): Positive crossover, confirming upward momentum.
• Bollinger Bands: Price is near the upper band, suggesting strength but also volatility.
• Volume: Current volume (14.2L) is below 1-week average (24.8L), indicating reduced participation at current levels.

🎯 Entry & Exit Zones

• Support Zone: ₹500 – ₹510 (recent base and 50 DMA)
• Resistance Zone: ₹530 – ₹545 (200 DMA and prior swing highs)
• Optimal Entry: ₹510 – ₹516 (on MACD strength and RSI > 60)
• Exit Target: ₹540 – ₹560 (short-term breakout zone)

✅ Positive

• Strong ROCE (15.7%) and ROE (15.5%) reflect efficient capital deployment.
• EPS of ₹7.56 and PEG ratio of 1.43 suggest reasonable valuation for growth.
• Quarterly PAT surged from ₹185 Cr. to ₹256 Cr., a 55.4% increase.
• DII holding increased by 1.22%, showing domestic institutional confidence.

⚠️ Limitation

• Price is still below 200 DMA, indicating resistance near long-term average.
• Volume is declining despite price strength, suggesting possible exhaustion.
• High P/E (68.2) compared to industry average (30.7) suggests overvaluation.

📉 Company Negative News

• FII holding decreased by 2.71%, indicating reduced foreign investor interest.
• Stock has dropped from its high of ₹795 to ₹516, reflecting resistance near peak levels.

📈 Company Positive News

• Strong quarterly profit and bullish technical indicators support long-term value.
• MACD crossover and RSI above 55 suggest upward momentum.

💍 Industry

• Industry P/E is 30.7, significantly lower than KALYANKJIL’s, suggesting relative overvaluation.
• Jewellery retail sector is cyclical and influenced by consumer demand, gold prices, and festive seasons.

🧾 Conclusion

• KALYANKJIL is currently trending with bullish technical indicators and strong quarterly performance.
• Short-term traders should monitor RSI and volume for breakout confirmation above ₹530.
• Long-term investors may consider accumulating near ₹510 with a target of ₹560, maintaining stop-loss below ₹500.