NSLNISP - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 2.9
| Stock Code | NSLNISP | Market Cap | 10,896 Cr. | Current Price | 37.2 ₹ | High / Low | 49.6 ₹ |
| Book Value | 44.4 ₹ | Dividend Yield | 0.00 % | ROCE | -13.0 % | ROE | -16.6 % |
| Face Value | 10.0 ₹ | DMA 50 | 39.8 ₹ | DMA 200 | 41.3 ₹ | Chg in FII Hold | -0.32 % |
| Chg in DII Hold | 0.33 % | PAT Qtr | -244 Cr. | PAT Prev Qtr | -115 Cr. | RSI | 40.0 |
| MACD | -1.06 | Volume | 32,12,828 | Avg Vol 1Wk | 36,54,200 | Low price | 28.4 ₹ |
| High price | 49.6 ₹ | Debt to equity | 0.41 | 52w Index | 41.5 % | Qtr Profit Var | 67.8 % |
| EPS | -2.75 ₹ | Industry PE | 20.1 |
📉 Chart & Trend: NSLNISP is trading at ₹37.2, below both 50 DMA (₹39.8) and 200 DMA (₹41.3), confirming a bearish setup. RSI at 40.0 shows weak momentum but not oversold. MACD at -1.06 indicates negative crossover. Bollinger Bands suggest price is near the lower band, reflecting weakness with limited rebound potential.
📊 Volume: Current volume (32.1 L) is slightly below the 1-week average (36.5 L), showing reduced participation and lack of strong buying interest.
📈 Momentum Signals: Short-term momentum remains negative. Support levels are seen at ₹35–₹36 and strong support at ₹28.4 (52-week low). Resistance lies at ₹39.8 (50 DMA) and ₹41.3 (200 DMA).
🎯 Entry Zone: ₹35–₹36 (risk-managed entry zone).
🚪 Exit Zone: ₹39–₹41 (profit-taking zone near resistance).
🔎 Trend Status: Bearish consolidation. The stock is consolidating below key moving averages, struggling to regain upward momentum.
Positive
- Book value of ₹44.4 provides margin of safety relative to current price.
- Debt-to-equity ratio of 0.41 indicates moderate leverage.
- DII holding increased by 0.33%, showing some domestic institutional support.
Limitation
- Negative ROCE (-13.0%) and ROE (-16.6%) highlight poor capital efficiency.
- EPS at -₹2.75 reflects losses.
- Price trading below both 50 DMA and 200 DMA reflects technical weakness.
Company Negative News
- PAT worsened to -₹244 Cr from -₹115 Cr, showing deepening losses.
- FII holding reduced by -0.32%, reflecting weaker foreign investor sentiment.
Company Positive News
- DII inflows (+0.33%) show some confidence from domestic institutions.
- Book value remains higher than current price, offering valuation cushion.
Industry
- Industry PE at 20.1 highlights sector valuations are higher, but company losses prevent meaningful comparison.
- Steel and metals sector is cyclical, sensitive to global demand and commodity prices.
Conclusion
⚠️ NSLNISP is in a bearish consolidation phase, trading below key moving averages with weak RSI and negative MACD. Fundamentals show valuation cushion via book value and moderate leverage, but persistent losses, poor efficiency, and declining profits limit upside. Short-term traders may consider entries near ₹35–₹36 with exits around ₹39–₹41, while long-term investors should avoid fresh accumulation until profitability improves and technical strength returns.
Would you like me to extend this into a peer benchmarking overlay against other steel sector companies like Tata Steel, JSW Steel, and SAIL? That would highlight whether NSLNISP’s weakness is sector-driven or company-specific.