Bajel Projects Ltd Faces Bearish Momentum Amid Technical Downturn

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Bajel Projects Ltd, a key player in the Heavy Electrical Equipment sector, has experienced a notable shift in its technical momentum, with several indicators signalling a bearish trend. The stock’s recent price action and technical parameters suggest increased selling pressure, prompting a downgrade in its mojo grade to Sell from Strong Sell as of 7 Oct 2025.
Bajel Projects Ltd Faces Bearish Momentum Amid Technical Downturn

Current Market and Price Overview

Bajel Projects Ltd closed at ₹163.00 on 9 Feb 2026, down 4.12% from the previous close of ₹170.00. The stock traded within a range of ₹159.00 to ₹169.15 during the day, reflecting heightened volatility. Its 52-week high stands at ₹262.00, while the 52-week low is ₹142.75, indicating a significant retracement from its peak levels. The market cap grade remains low at 3, underscoring the company’s relatively modest market capitalisation within its sector.

Technical Trend Shift: From Mildly Bearish to Bearish

The technical trend for Bajel Projects has deteriorated from mildly bearish to outright bearish, signalling a more pronounced downtrend. This shift is corroborated by multiple technical indicators across different time frames.

MACD Analysis

The Moving Average Convergence Divergence (MACD) indicator on the weekly chart remains bearish, indicating that the short-term momentum is weaker than the longer-term trend. The monthly MACD, however, does not currently provide a clear signal, suggesting that longer-term momentum is neutral or indecisive at this stage. The persistent weekly bearish MACD implies that sellers are dominating in the near term.

RSI and Momentum Indicators

The Relative Strength Index (RSI) on both weekly and monthly charts shows no definitive signal, hovering in a neutral zone. This lack of momentum confirmation from RSI suggests that the stock is neither oversold nor overbought, but the absence of bullish RSI divergence limits upside potential.

Bollinger Bands and Moving Averages

Bollinger Bands on weekly and monthly time frames are mildly bearish, indicating that the stock price is trending towards the lower band, a sign of increased selling pressure. Daily moving averages reinforce this bearish stance, with the stock trading below key averages, signalling a downtrend in the short term. The downward slope of these averages confirms the weakening price momentum.

KST and Dow Theory Signals

The Know Sure Thing (KST) indicator on the weekly chart is bearish, further supporting the negative momentum narrative. Dow Theory assessments classify the weekly trend as mildly bearish, while the monthly trend remains without a clear directional bias. This mixed picture suggests that while short-term momentum is negative, longer-term trend confirmation is pending.

On-Balance Volume (OBV) and Volume Trends

OBV on the weekly chart is mildly bearish, indicating that volume trends are not supporting price advances. The lack of a monthly OBV trend suggests subdued trading interest or indecision among investors over the longer term. This volume behaviour aligns with the overall bearish technical outlook.

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Comparative Returns and Sector Context

Examining Bajel Projects’ returns relative to the Sensex reveals a challenging performance over multiple time frames. The stock outperformed the Sensex over the past week with a 5.2% gain compared to the Sensex’s 1.59%. However, this short-term strength is overshadowed by negative returns over longer periods: a 6.91% decline over one month versus the Sensex’s 1.74% fall, and a year-to-date loss of 6.02% against the Sensex’s 1.92% drop.

More concerning is the one-year return, where Bajel Projects has plummeted 27.26%, while the Sensex gained 7.07%. This stark underperformance highlights sector-specific or company-specific headwinds. Over three, five, and ten-year horizons, Bajel Projects’ returns are not available, but the Sensex’s robust gains of 38.13%, 64.75%, and 239.52% respectively underscore the stock’s laggard status within the broader market.

Mojo Score and Grade Update

The company’s mojo score currently stands at 31.0, reflecting weak fundamentals and technicals. The mojo grade was downgraded from Strong Sell to Sell on 7 Oct 2025, signalling a slight improvement but still a negative outlook. This downgrade suggests that while conditions have marginally stabilised, the stock remains unattractive for investors seeking growth or stability.

Sector and Industry Considerations

Bajel Projects operates within the Heavy Electrical Equipment sector, a space often sensitive to economic cycles, infrastructure spending, and industrial demand. The sector’s performance can be volatile, influenced by government policies and capital expenditure trends. Bajel’s current technical weakness may reflect broader sector challenges or company-specific issues such as order book delays or margin pressures.

Investor Implications and Outlook

From a technical perspective, Bajel Projects exhibits multiple bearish signals across key indicators, suggesting that investors should exercise caution. The persistent weekly MACD and KST bearishness, combined with daily moving averages trending downwards, point to continued downside risk in the near term. The neutral RSI and monthly indicators imply that a longer-term trend reversal is not imminent.

Investors holding the stock may consider tightening stop-loss levels or reducing exposure until clearer signs of technical recovery emerge. Conversely, traders looking for short-term opportunities might monitor for oversold conditions or potential support near the 52-week low of ₹142.75.

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Technical Summary and Final Assessment

In summary, Bajel Projects Ltd’s technical parameters reveal a stock under pressure with a bearish momentum shift. The weekly MACD and KST indicators confirm selling dominance, while daily moving averages reinforce the downtrend. Bollinger Bands suggest the price is gravitating towards lower volatility bands, consistent with a bearish bias. The absence of strong RSI signals indicates no immediate reversal is on the horizon.

Given the downgrade to a Sell mojo grade and the stock’s underperformance relative to the Sensex, investors should approach Bajel Projects with caution. The stock’s current technical profile does not favour aggressive buying, and risk-averse investors may prefer to explore better-performing alternatives within the Heavy Electrical Equipment sector or broader market.

Monitoring upcoming quarterly results, sector developments, and macroeconomic factors will be crucial to reassessing the stock’s outlook. Until then, the technical momentum suggests a continuation of the bearish trend.

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