Delhivery Ltd Technical Momentum Shifts Amid Mixed Market Signals

Feb 16 2026 08:05 AM IST
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Delhivery Ltd, a key player in the transport services sector, has experienced a notable shift in its technical momentum, moving from a sideways trend to a mildly bearish stance. Despite a strong one-year return of 50.2%, recent technical indicators suggest caution as the stock faces downward pressure amid mixed signals from momentum oscillators and moving averages.
Delhivery Ltd Technical Momentum Shifts Amid Mixed Market Signals

Technical Trend Overview

Delhivery’s price momentum has recently transitioned from a neutral sideways pattern to a mildly bearish trend, reflecting growing selling pressure. The stock closed at ₹420.75 on 16 Feb 2026, down 1.95% from the previous close of ₹429.10. Intraday, it fluctuated between ₹414.00 and ₹426.80, remaining well below its 52-week high of ₹489.95 but comfortably above the 52-week low of ₹236.80.

This shift is corroborated by several technical indicators. The Moving Average Convergence Divergence (MACD) on both weekly and monthly charts signals a mildly bearish outlook, indicating that the short-term momentum is weakening relative to the longer-term trend. Meanwhile, the Relative Strength Index (RSI) remains neutral on weekly and monthly timeframes, showing no clear overbought or oversold conditions.

Moving Averages and Bollinger Bands

Daily moving averages have turned mildly bearish, suggesting that recent price action is losing upward momentum. The stock price has dipped below key short-term moving averages, which often act as dynamic resistance levels. This technical deterioration hints at potential further downside unless buyers regain control.

Bollinger Bands present a mixed picture: weekly bands are bearish, reflecting increased volatility and downward price pressure, while monthly bands remain mildly bullish, indicating that the longer-term volatility envelope still supports a cautiously optimistic outlook. This divergence suggests that while short-term traders may face headwinds, longer-term investors might find value in the current price levels.

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Momentum Oscillators and Volume Analysis

The Know Sure Thing (KST) indicator reveals contrasting signals: weekly readings are bearish, reinforcing the short-term negative momentum, whereas monthly readings are bullish, suggesting that the longer-term trend remains intact. This divergence highlights the importance of timeframe perspective when analysing Delhivery’s price action.

On-Balance Volume (OBV) is bullish on both weekly and monthly charts, indicating that despite recent price declines, buying volume remains strong. This could imply accumulation by institutional investors or long-term holders, potentially cushioning the stock against sharper falls.

Dow Theory and Broader Market Context

According to Dow Theory, the weekly trend is mildly bullish, signalling that the transport services sector may still have underlying strength. However, the monthly Dow Theory trend is mildly bearish, reflecting caution over the medium term. This mixed message aligns with the technical oscillators and moving averages, underscoring the complexity of the current market environment for Delhivery.

Comparing Delhivery’s returns with the Sensex reveals a strong relative performance over the past year, with the stock delivering a 50.19% gain versus the Sensex’s 8.52%. Year-to-date, Delhivery has risen 4.24%, outperforming the Sensex’s decline of 3.04%. Over three years, however, the stock’s 31.92% return trails the Sensex’s 36.73%, suggesting some recent acceleration in performance.

Market Capitalisation and Mojo Ratings

Delhivery’s market cap grade stands at 3, reflecting a mid-tier valuation within its sector. The company’s Mojo Score is 31.0, with a current Mojo Grade of Sell, upgraded from a previous Strong Sell on 27 Jan 2026. This upgrade indicates a slight improvement in technical and fundamental outlook, though the overall sentiment remains cautious.

Investment Implications

Investors should weigh the mildly bearish short-term technical signals against the more positive longer-term momentum indicators. The mixed readings from MACD, KST, and Dow Theory suggest that while the stock may face near-term pressure, it retains potential for recovery if volume-backed buying persists.

Given the current price near ₹420.75, traders might consider waiting for confirmation of trend reversal or further downside before initiating new positions. Long-term investors could view recent weakness as an opportunity to accumulate, especially considering the stock’s strong one-year performance and relative outperformance versus the Sensex.

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Conclusion

Delhivery Ltd’s recent technical parameter changes reflect a nuanced market stance. The shift to a mildly bearish trend on short-term charts contrasts with more bullish longer-term signals, creating a complex trading environment. Investors should monitor key technical levels, volume trends, and broader market cues before making decisive moves.

While the stock’s strong historical returns and relative outperformance versus the Sensex provide a solid foundation, the current technical caution advises prudence. A balanced approach, combining technical analysis with fundamental insights, will be essential for navigating Delhivery’s evolving momentum landscape.

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