OLECTRA - Technical Analysis with Chart Patterns & Indicators

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

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Technical Rating: 3.7

Technical Analysis Summary

• Trend: Consolidating with mixed momentum signals
• Moving Averages: Price (₹1,544) is above both DMA 50 (₹1,499) and DMA 200 (₹1,416), indicating medium-term bullish structure
• RSI (58.0): Neutral to bullish zone, not overbought
• MACD (-11.9): Bearish crossover, signaling short-term weakness
• Bollinger Bands: Price near mid-band, suggesting range-bound movement
• Volume: Slightly below average (5.71L vs 5.82L), indicating subdued participation

Entry & Exit Zones

• Support: ₹1,500 – ₹1,520 (DMA 50 and recent base)
• Resistance: ₹1,600 – ₹1,640 (intermediate resistance zone)
• Optimal Entry: ₹1,510 – ₹1,530 on pullback with RSI support
• Exit Zone: ₹1,600 – ₹1,640 if price stalls near resistance

Positive

• Strong ROCE (21.0%) and ROE (14.2%) reflect solid operational efficiency
• EPS of ₹17.2 and PEG ratio of 1.61 indicate reasonable growth valuation
• Price up 77.0% over 52 weeks, showing long-term strength
• Positive FII sentiment (+1.38%) and DII sentiment (+0.21%)

Limitation

• High P/E of 89.8 vs industry average of 35.0 suggests premium valuation
• MACD in bearish territory may signal short-term weakness
• Volume slightly below average, indicating lack of strong conviction
• Minor decline in quarterly PAT (₹22.4 Cr. vs ₹24.3 Cr.)

Company Negative News

• Concerns over high valuation and margin pressure in electric mobility segment

Company Positive News

• Strong order book in electric bus segment and expansion in EV infrastructure
• Consistent profitability and improving operational metrics

Industry

• OLECTRA operates in the electric mobility and commercial EV manufacturing sector
• Peers include JBM Auto, Ashok Leyland (EV division), and Tata Motors

Conclusion

OLECTRA is currently consolidating with mixed technical signals. While long-term structure remains bullish and fundamentals are strong, short-term indicators like MACD and volume suggest caution. Traders may consider entry near ₹1,520 with targets around ₹1,640, watching RSI and MACD for confirmation of momentum shift.