ZEEL - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 2.9
| Stock Code | ZEEL | Market Cap | 7,849 Cr. | Current Price | 81.6 ₹ | High / Low | 152 ₹ |
| Stock P/E | 16.9 | Book Value | 111 ₹ | Dividend Yield | 2.98 % | ROCE | 9.83 % |
| ROE | 7.58 % | Face Value | 1.00 ₹ | DMA 50 | 91.3 ₹ | DMA 200 | 108 ₹ |
| Chg in FII Hold | -1.22 % | Chg in DII Hold | -1.94 % | PAT Qtr | 118 Cr. | PAT Prev Qtr | 78.3 Cr. |
| RSI | 38.0 | MACD | -2.87 | Volume | 43,78,039 | Avg Vol 1Wk | 78,18,601 |
| Low price | 78.4 ₹ | High price | 152 ₹ | PEG Ratio | -0.93 | Debt to equity | 0.03 |
| 52w Index | 4.37 % | Qtr Profit Var | -38.0 % | EPS | 4.76 ₹ | Industry PE | 17.3 |
📊 Chart Patterns & Trend: ZEEL is trading below both its 50 DMA (91.3 ₹) and 200 DMA (108 ₹), indicating bearish pressure. Price action suggests consolidation between 78–92 ₹, with strong support at 78.4–80 ₹ and resistance near 91–95 ₹. Trendlines show sideways movement with a bearish undertone.
📈 Moving Averages: Current price (81.6 ₹) is below both 50 DMA and 200 DMA, signaling weakness. A sustained move above 95 ₹ is required for reversal confirmation.
📉 RSI: At 38.0, RSI is near oversold territory, suggesting limited downside but weak momentum.
📉 MACD: Negative at -2.87, confirming bearish momentum in the short term.
📊 Bollinger Bands: Price is near the lower band, indicating oversold conditions and potential support around 78–80 ₹.
📊 Volume Trends: Current volume (43,78,039) is significantly below the 1-week average (78,18,601), showing weak participation and lack of strong buying interest.
🎯 Entry Zone: 78–82 ₹ (near support, risk-managed entry).
🎯 Exit Zone: 91–95 ₹ (resistance zone, profit booking advisable).
📌 Momentum Signal: Weak short-term momentum, consolidation phase with bearish undertone. A breakout above 95 ₹ is needed to confirm reversal toward 105–110 ₹.
Positive
- Dividend yield of 2.98% provides investor returns.
- Book value of 111 ₹ offers valuation support.
- Low debt-to-equity ratio (0.03) ensures financial stability.
Limitation
- Stock trading below both 50 DMA and 200 DMA shows technical weakness.
- PEG ratio of -0.93 indicates poor growth visibility.
- Weak ROCE (9.83%) and ROE (7.58%) compared to peers.
- Quarterly profit variation (-38.0%) highlights margin pressure.
Company Negative News
- Decline in FII holdings (-1.22%) and DII holdings (-1.94%) shows reduced institutional confidence.
- Sequential PAT decline highlights earnings pressure.
Company Positive News
- EPS of 4.76 ₹ reflects earnings base.
- Dividend yield provides steady investor returns.
Industry
- Industry P/E at 17.3 indicates sector is moderately valued compared to ZEEL’s P/E (16.9).
- 52-week index return of 4.37% shows weak sector momentum.
Conclusion
⚖️ ZEEL is consolidating near support with weak momentum and bearish undertones. Entry near 78–82 ₹ offers limited risk, while exits should be considered around 91–95 ₹ unless strong reversal occurs. Fundamentally steady but technically weak in the near term, requiring cautious trading.