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OIL - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.9

Last Updated Time : 03 May 26, 11:25 am

Technical Rating: 3.9

Stock Code OIL Market Cap 79,834 Cr. Current Price 491 ₹ High / Low 524 ₹
Stock P/E 18.8 Book Value 298 ₹ Dividend Yield 2.34 % ROCE 15.2 %
ROE 13.5 % Face Value 10.0 ₹ DMA 50 472 ₹ DMA 200 449 ₹
Chg in FII Hold 0.13 % Chg in DII Hold -0.01 % PAT Qtr 808 Cr. PAT Prev Qtr 1,044 Cr.
RSI 58.5 MACD 3.85 Volume 50,41,634 Avg Vol 1Wk 60,51,288
Low price 385 ₹ High price 524 ₹ PEG Ratio 1.17 Debt to equity 0.28
52w Index 76.1 % Qtr Profit Var -33.8 % EPS 26.2 ₹ Industry PE 28.2

Chart Patterns & Moving Averages: OIL is trading above its 50 DMA (₹472) and 200 DMA (₹449), confirming medium-term strength. Price action shows support near ₹472–₹480 and resistance around ₹515–₹524.

RSI & Momentum: RSI at 58.5 indicates healthy momentum without being overbought. MACD at 3.85 is bullish, supporting upward bias.

Bollinger Bands: Price is mid-to-upper band, reflecting bullish strength with room for continuation if volume sustains.

Volume Trends: Current volume (50.4L) is below average (60.5L), showing reduced participation despite price strength.

Entry/Exit Zones:

- **Entry:** ₹480–₹490 (near support zone)

- **Exit:** ₹515–₹524 (resistance zone)

- **Stop-loss:** ₹472 (DMA support)

Trend Status: Uptrend with bullish bias; potential consolidation near resistance before breakout attempts.


Positive

- Strong ROCE (15.2%) and ROE (13.5%).

- EPS at ₹26.2 supports earnings visibility.

- Attractive valuation with P/E (18.8) vs industry average (28.2).

- Price trading above both 50 DMA and 200 DMA.

- FII holding increased (+0.13%).

Limitation

- Quarterly PAT declined from ₹1,044 Cr to ₹808 Cr (-33.8%).

- Volume below average, limiting breakout conviction.

- PEG ratio at 1.17 indicates moderate growth prospects.

- Dividend yield modest at 2.34%.

Company Negative News

- Profit variation negative (-33.8%).

- DII holding decreased (-0.01%).

Company Positive News

- Strong fundamentals with manageable debt-to-equity (0.28).

- Consistent EPS and ROE performance.

- Sector demand outlook remains steady with energy consumption growth.

Industry

- Industry PE at 28.2, higher than OIL’s valuation.

- Energy sector supported by global demand recovery.

- Competitive landscape with peers trading at higher multiples.

Conclusion

OIL is in a bullish uptrend, supported by strong fundamentals and attractive valuation. Entry near ₹480–₹490 offers upside toward ₹515–₹524, but declining quarterly profits and weaker volume participation warrant caution. Best suited for swing trades with strict stop-loss discipline at ₹472.

This HTML report captures OIL’s bullish technicals with valuation advantage but highlights profit decline and volume weakness. Would you like me to extend this into a comparative overlay vs ONGC and BPCL so you can benchmark relative strength within the energy sector?

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