NSLNISP - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.2
| Stock Code | NSLNISP | Market Cap | 12,100 Cr. | Current Price | 41.2 ₹ | High / Low | 49.6 ₹ |
| Book Value | 44.4 ₹ | Dividend Yield | 0.00 % | ROCE | -13.0 % | ROE | -16.6 % |
| Face Value | 10.0 ₹ | DMA 50 | 42.2 ₹ | DMA 200 | 42.1 ₹ | Chg in FII Hold | -0.32 % |
| Chg in DII Hold | 0.33 % | PAT Qtr | -115 Cr. | PAT Prev Qtr | 25.6 Cr. | RSI | 46.9 |
| MACD | -0.14 | Volume | 28,78,628 | Avg Vol 1Wk | 46,03,466 | Low price | 28.4 ₹ |
| High price | 49.6 ₹ | Debt to equity | 0.41 | 52w Index | 60.5 % | Qtr Profit Var | 80.7 % |
| EPS | -4.51 ₹ | Industry PE | 20.7 |
📊 Chart & Trend Analysis:
NSLNISP is trading at ₹41.2, slightly below its 50 DMA (₹42.2) and 200 DMA (₹42.1), indicating weakness and sideways consolidation. RSI at 46.9 suggests neutral momentum, not oversold but lacking strength. MACD at -0.14 shows mild bearish crossover, signaling indecision. Bollinger Bands place price near the lower-mid range, reflecting consolidation with weak bias. Current volume (28.7 lakh) is lower than the 1-week average (46.0 lakh), showing reduced participation and lack of strong buying interest.
📈 Momentum Signals:
- RSI neutral, leaning slightly bearish.
- MACD flat-to-negative, showing indecision.
- Price below both 50 & 200 DMA indicates weak technical strength.
- Low volume suggests lack of conviction in current moves.
🎯 Optimal Entry & Exit Zones:
- Entry Zone: ₹40 – ₹41 (near support, close to DMA levels).
- Exit Zone: ₹46 – ₹48 (resistance near recent highs).
- Stop Loss: ₹38 (below key support).
📌 Trend Status: The stock is consolidating with bearish bias, struggling to hold above support and failing to break resistance levels.
Positive
- Book value of ₹44.4 provides margin of safety near current price.
- DII holding increased (+0.33%), showing domestic institutional support.
- Debt-to-equity ratio of 0.41 indicates manageable leverage.
Limitation
- Negative ROCE (-13.0%) and ROE (-16.6%) highlight poor capital efficiency.
- No dividend yield, limiting income appeal.
- Stock trading below both 50 DMA and 200 DMA reflects weak technical strength.
Company Negative News
- Quarterly PAT declined sharply to -₹115 Cr. from ₹25.6 Cr., showing severe earnings pressure.
- EPS of -₹4.51 reflects losses and weak fundamentals.
- FII holding decreased (-0.32%), signaling reduced foreign investor confidence.
Company Positive News
- Quarterly profit variation (+80.7%) shows volatility but potential for turnaround.
- DII support increased, reflecting some domestic institutional confidence.
Industry
- Industry P/E at 20.7 highlights sector peers trading at higher valuations, while NSLNISP remains loss-making.
- Steel and metals sector remains cyclical, influenced by global commodity demand and pricing trends.
Conclusion
⚖️ NSLNISP is consolidating with bearish bias, trading below key moving averages and showing weak momentum. Fundamentals remain poor with negative ROE, ROCE, and losses in recent quarters, though book value and manageable debt provide some cushion. Short-term traders may consider entry near ₹40–₹41 with exits around ₹46–₹48, while long-term investors should wait for earnings recovery and stronger fundamentals before fresh accumulation.