Price Movement and Market Context
Chemplast Sanmar’s current market price stands at ₹260.20, down 2.55% from the previous close of ₹267.00 on 6 Feb 2026. The stock traded within a range of ₹259.05 to ₹267.10 during the session, reflecting heightened volatility. This price level is significantly below its 52-week high of ₹490.60, underscoring a prolonged downtrend. The 52-week low is ₹232.00, indicating the stock is closer to its lower range than its peak.
Comparatively, the stock’s returns have underperformed the broader Sensex index across multiple timeframes. Over the past week, Chemplast Sanmar declined by 0.25%, while Sensex gained 0.91%. On a one-month basis, the stock rose marginally by 0.79%, contrasting with a 2.49% drop in Sensex. Year-to-date, Chemplast Sanmar is down 0.69%, whereas Sensex has fallen 2.24%. However, the longer-term performance is more concerning, with a one-year return of -44.52% against Sensex’s 6.44% gain and a three-year return of -40.15% versus Sensex’s 36.94% rise.
Technical Trend Shift: From Mildly Bearish to Bearish
The technical trend for Chemplast Sanmar has deteriorated from mildly bearish to outright bearish, signalling a shift in market sentiment. This transition is supported by several key technical indicators that investors closely monitor for momentum and trend confirmation.
The daily moving averages are firmly bearish, with the stock trading below its short-term and long-term averages. This suggests sustained selling pressure and a lack of upward momentum. The weekly and monthly Bollinger Bands also indicate bearish conditions, with the price hugging the lower band, often a sign of continued downside risk.
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MACD and RSI Analysis
The Moving Average Convergence Divergence (MACD) indicator presents a mixed picture. On a weekly and monthly basis, the MACD remains mildly bullish, suggesting some underlying positive momentum in the medium to long term. However, this mild bullishness is insufficient to counterbalance the broader bearish trend indicated by other metrics.
The Relative Strength Index (RSI) offers further nuance. The weekly RSI currently shows no clear signal, hovering in a neutral zone that neither confirms overbought nor oversold conditions. Conversely, the monthly RSI is bullish, indicating some strength in the longer timeframe. This divergence between weekly and monthly RSI readings points to a potential consolidation phase, but not yet a definitive reversal.
Other Technical Indicators Confirm Bearish Bias
The Know Sure Thing (KST) oscillator, a momentum indicator, is bearish on both weekly and monthly charts, reinforcing the negative outlook. Dow Theory analysis shows a mildly bearish trend on the weekly scale, while the monthly trend remains undefined, reflecting uncertainty in the broader market context.
On-Balance Volume (OBV), which measures buying and selling pressure, is mildly bearish weekly and neutral monthly. This suggests that volume trends are not strongly supporting a bullish reversal, and selling pressure may be gradually increasing.
Mojo Score and Grade Downgrade
MarketsMOJO’s proprietary scoring system has downgraded Chemplast Sanmar’s Mojo Grade from Sell to Strong Sell as of 5 Feb 2026, with a current Mojo Score of 26.0. This downgrade reflects the deteriorating technical and fundamental outlook. The Market Cap Grade remains low at 3, indicating limited market capitalisation strength relative to peers.
The downgrade signals caution for investors, as the stock’s technical parameters and price momentum are increasingly unfavourable. The strong sell rating aligns with the bearish technical trend and weak price performance over the past year.
Sector and Industry Context
Chemplast Sanmar operates within the commodity chemicals sector, a space often subject to cyclical volatility and commodity price fluctuations. The sector’s performance can be influenced by global supply-demand dynamics, raw material costs, and regulatory changes. Currently, the sector faces headwinds from subdued demand and pricing pressures, which may be contributing to the stock’s weak momentum.
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Investor Takeaway and Outlook
Investors should approach Chemplast Sanmar with caution given the prevailing bearish technical signals and weak price momentum. The stock’s significant underperformance relative to the Sensex over one and three years highlights structural challenges. While some medium-term indicators like monthly MACD and RSI show mild bullishness, these are overshadowed by dominant bearish trends in moving averages, Bollinger Bands, and momentum oscillators.
For those holding the stock, it may be prudent to monitor key support levels near the 52-week low of ₹232.00 and watch for any sustained improvement in volume and momentum indicators before considering accumulation. New investors might prefer to explore alternative opportunities within the commodity chemicals sector or other segments with stronger technical and fundamental profiles.
Overall, the downgrade to a Strong Sell Mojo Grade and the shift to a bearish technical trend underscore the need for vigilance and disciplined risk management in portfolios exposed to Chemplast Sanmar.
Summary of Key Technical Metrics
- Current Price: ₹260.20 (down 2.55%)
- 52-Week Range: ₹232.00 - ₹490.60
- Moving Averages (Daily): Bearish
- MACD: Weekly & Monthly Mildly Bullish
- RSI: Weekly Neutral, Monthly Bullish
- Bollinger Bands: Weekly & Monthly Bearish
- KST: Weekly & Monthly Bearish
- Dow Theory: Weekly Mildly Bearish, Monthly No Trend
- OBV: Weekly Mildly Bearish, Monthly No Trend
- Mojo Score: 26.0 (Strong Sell, downgraded from Sell)
Given these mixed but predominantly negative signals, Chemplast Sanmar’s near-term outlook remains challenging, with technical momentum favouring further downside risk.
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