Dr Agarwals Eye Hospital Ltd Technical Momentum Shifts Amid Mixed Market Signals

Technical Trend Overview and Price Movement

The stock of Dr Agarwals Eye Hospital Ltd (NSE: 718153) closed at ₹4,611.90 on 24 February 2026, down 1.59% from the previous close of ₹4,686.45. The intraday range saw a high of ₹4,785.90 and a low of ₹4,610.00, indicating some volatility within the session. The 52-week price range remains broad, with a high of ₹6,392.00 and a low of ₹3,512.60, reflecting significant price swings over the past year.

Technically, the stock has shifted from a sideways consolidation phase to a mildly bearish trend. This change is corroborated by several key indicators. The weekly Moving Average Convergence Divergence (MACD) is firmly bearish, while the monthly MACD signals a mildly bearish momentum. The Relative Strength Index (RSI) on both weekly and monthly charts currently shows no clear signal, hovering in neutral territory, which suggests indecision among traders.

Moving Averages and Momentum Indicators

On the daily timeframe, moving averages present a mildly bullish picture, indicating some short-term buying interest. However, this is overshadowed by the weekly and monthly technicals. Bollinger Bands on both weekly and monthly charts are bearish, signalling increased volatility and downward pressure on prices. The Know Sure Thing (KST) indicator aligns with this view, showing bearish momentum on the weekly chart and mildly bearish on the monthly.

Interestingly, the Dow Theory assessment offers a mildly bullish signal on the weekly chart but no discernible trend on the monthly timeframe, highlighting the mixed signals investors face. The On-Balance Volume (OBV) data is inconclusive, with no clear directional bias on weekly or monthly scales, suggesting volume has not decisively confirmed the price trend.

Mojo Grade Downgrade and Market Capitalisation Context

Reflecting these technical developments, MarketsMOJO downgraded Dr Agarwals Eye Hospital Ltd’s Mojo Grade from Hold to Sell on 23 February 2026. The current Mojo Score stands at 48.0, indicating a cautious stance. The market capitalisation grade is rated 3, suggesting a mid-tier valuation relative to peers in the hospital sector.

This downgrade signals a deterioration in the stock’s technical health and advises investors to exercise caution. The mildly bearish weekly and monthly technicals, combined with the lack of strong bullish confirmation from volume and momentum indicators, underpin this cautious outlook.

Comparative Performance Against Sensex

Despite recent technical weakness, Dr Agarwals Eye Hospital Ltd has delivered impressive long-term returns relative to the benchmark Sensex. Over the past 10 years, the stock has surged by 2,217.54%, vastly outperforming the Sensex’s 255.80% gain. Similarly, over five years, the stock’s return of 1,143.27% dwarfs the Sensex’s 67.42%.

However, short-term returns have been less favourable. The stock declined 2.83% over the past week and 2.96% over the last month, while the Sensex gained 0.02% and 2.15% respectively. Year-to-date, Dr Agarwals Eye Hospital Ltd is down 13.54%, compared to the Sensex’s modest 2.26% decline. This divergence highlights the current technical challenges facing the stock despite its strong historical performance.

Technical Outlook and Investor Implications

The mildly bearish technical trend suggests that investors should remain vigilant. The bearish weekly MACD and Bollinger Bands indicate potential for further downside or consolidation at current levels. The absence of a clear RSI signal implies that the stock is neither oversold nor overbought, leaving room for price movement in either direction.

Short-term moving averages showing mild bullishness could provide some support, but the broader weekly and monthly indicators caution against aggressive buying. Investors may consider waiting for confirmation of a trend reversal or stronger bullish signals before increasing exposure.

Sector and Industry Context

Operating within the hospital sector, Dr Agarwals Eye Hospital Ltd faces sector-specific challenges including regulatory pressures, rising operational costs, and evolving patient preferences. The hospital industry has seen mixed technical trends recently, with some peers showing stronger momentum. This context emphasises the importance of comparative analysis when considering investment decisions in this space.

Given the current technical signals and the downgrade in Mojo Grade, investors should weigh the stock’s long-term growth potential against near-term technical headwinds. Monitoring key support levels near ₹4,600 and resistance around ₹4,785 will be critical in assessing the stock’s next directional move.

Conclusion

Dr Agarwals Eye Hospital Ltd’s recent technical parameter changes reveal a shift towards a mildly bearish momentum, supported by bearish MACD and Bollinger Bands on weekly and monthly charts. While daily moving averages offer some short-term bullishness, the overall technical landscape advises caution. The downgrade from Hold to Sell by MarketsMOJO reflects this nuanced outlook.

Investors should closely monitor momentum indicators and volume trends for signs of a reversal or further deterioration. Given the stock’s strong long-term outperformance versus the Sensex, selective accumulation on confirmed technical strength could be considered, but current signals suggest a prudent approach.

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