Hariom Pipe Industries Ltd Faces Technical Setback Amid Mixed Momentum Signals

Technical Trend Overview

Recent analysis reveals that Hariom Pipe’s technical trend has transitioned from a firmly bearish stance to a mildly bearish one. This subtle shift indicates a potential easing of downward pressure, though the overall sentiment remains cautious. The stock closed at ₹366.60 on 17 Feb 2026, down from the previous close of ₹372.95, with intraday trading ranging between ₹365.00 and ₹379.95. The 52-week price range remains wide, with a high of ₹572.10 and a low of ₹301.40, underscoring significant volatility over the past year.

MACD Signals: Divergent Weekly and Monthly Perspectives

The Moving Average Convergence Divergence (MACD) indicator presents a mixed picture. On a weekly basis, the MACD is mildly bullish, suggesting some short-term upward momentum may be building. This could be interpreted as a tentative signal that the stock might stabilise or even rally in the near term. Conversely, the monthly MACD remains mildly bearish, reflecting longer-term downward pressure that has yet to be decisively overcome.

RSI and Bollinger Bands: Lack of Clear Momentum

The Relative Strength Index (RSI) on both weekly and monthly charts currently offers no definitive signal, hovering in neutral territory. This absence of momentum extremes implies that the stock is neither overbought nor oversold, which may indicate consolidation or indecision among investors. Meanwhile, Bollinger Bands on both weekly and monthly timeframes remain bearish, signalling that price volatility is skewed towards the downside and that the stock is trading near the lower band, often a sign of sustained selling pressure.

Moving Averages and KST: Conflicting Indicators

Daily moving averages continue to reflect a bearish trend, reinforcing the short-term downtrend in price action. However, the Know Sure Thing (KST) oscillator offers a more nuanced view: it is mildly bullish on the weekly chart but bearish on the monthly chart. This divergence suggests that while short-term momentum may be improving, the longer-term trend remains under pressure, consistent with the MACD monthly readings.

Dow Theory and OBV: Mixed Market Sentiment

Dow Theory analysis further highlights the complexity of the stock’s technical profile. Weekly signals are mildly bearish, whereas monthly signals are mildly bullish, indicating a tug-of-war between short-term weakness and longer-term resilience. On-Balance Volume (OBV) shows no clear trend on either timeframe, suggesting that volume flows are not decisively supporting either buying or selling pressure at present.

Comparative Performance Against Sensex

Hariom Pipe’s recent returns have lagged behind the broader market benchmark, the Sensex, across multiple time horizons. Over the past week, the stock declined by 5.06%, significantly underperforming the Sensex’s modest 0.94% loss. The one-month return was particularly weak at -16.87%, compared to a near-flat Sensex return of -0.35%. Year-to-date, the stock’s return of -2.2% closely mirrors the Sensex’s -2.28%, but over the one-year and three-year periods, Hariom Pipe has underperformed substantially, with returns of -1.98% and -13.34% respectively, against Sensex gains of 9.66% and 35.81%. This underperformance highlights the challenges faced by the company amid sectoral headwinds and broader market volatility.

Mojo Score and Rating Downgrade

MarketsMOJO’s proprietary scoring system currently assigns Hariom Pipe a Mojo Score of 45.0, categorising it as a Sell. This represents a downgrade from the previous Hold rating, effective from 15 Dec 2025. The downgrade reflects deteriorating technical and fundamental conditions, with the company’s market cap grade at a low 4, indicating limited market capitalisation strength relative to peers. The downgrade signals caution for investors, suggesting that the stock may face continued headwinds in the near term.

Sectoral Context and Industry Challenges

Operating within the iron and steel products sector, Hariom Pipe faces cyclical pressures including fluctuating raw material costs, demand variability, and global trade uncertainties. The sector’s performance often correlates with broader economic cycles, and recent macroeconomic factors have weighed on sentiment. The stock’s technical indicators mirror these challenges, with bearish moving averages and Bollinger Bands underscoring persistent downside risks.

Price Momentum and Moving Average Analysis

The daily moving averages remain bearish, with the stock trading below key averages, signalling that short-term momentum is weak. This technical positioning suggests that any rallies may be met with resistance, and the stock could continue to face selling pressure unless it breaks above these averages decisively. The mild bullish signals from weekly MACD and KST offer some hope for a short-term rebound, but these are tempered by the monthly bearish indicators.

Investor Takeaway and Outlook

Investors should approach Hariom Pipe Industries Ltd with caution given the mixed technical signals and recent downgrade to a Sell rating. The stock’s underperformance relative to the Sensex over multiple timeframes highlights the challenges it faces in regaining upward momentum. While weekly indicators such as MACD and KST hint at a possible short-term stabilisation, the prevailing bearish trends on monthly charts and moving averages suggest that a sustained recovery remains uncertain.

Given the current technical landscape, investors may prefer to monitor the stock closely for confirmation of trend reversals before committing fresh capital. Those with existing positions should consider risk management strategies, especially in light of the stock’s volatility and sectoral headwinds. The absence of strong volume trends further emphasises the need for caution, as price movements lack robust support from trading activity.

Conclusion

Hariom Pipe Industries Ltd’s technical parameters reveal a stock caught between short-term bullish impulses and longer-term bearish pressures. The downgrade in Mojo Grade to Sell and a Mojo Score of 45.0 reflect these challenges, compounded by underwhelming returns compared to the broader market. While some weekly indicators offer tentative optimism, the overall technical and fundamental picture advises prudence. Investors seeking exposure to the iron and steel products sector may wish to explore alternative opportunities with stronger momentum and more favourable ratings.

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