Hexa Tradex Ltd Faces Bearish Momentum Amid Technical Indicator Shifts

Technical Trend Shift and Price Movement

Hexa Tradex’s current share price stands at ₹161.20, down from the previous close of ₹165.45, marking a daily loss of 2.57%. The stock’s 52-week high is ₹237.00, while the low is ₹148.80, indicating a significant retracement from its peak. The recent technical trend has shifted from mildly bearish to outright bearish, signalling increased selling pressure and weakening price momentum.

The daily moving averages reinforce this bearish stance, with the stock trading below key averages, suggesting that short-term momentum is negative. The daily moving averages’ bearish alignment typically indicates that sellers dominate near-term price action, which could weigh on the stock in the coming weeks.

MACD and RSI Analysis

The Moving Average Convergence Divergence (MACD) indicator presents a mixed picture. On the weekly timeframe, the MACD remains mildly bullish, hinting at some underlying positive momentum. However, the monthly MACD is bearish, reflecting longer-term downward pressure. This divergence between weekly and monthly MACD readings suggests that while short-term momentum may show sporadic strength, the broader trend remains negative.

The Relative Strength Index (RSI) also offers contrasting signals. The weekly RSI is neutral, providing no clear directional bias, whereas the monthly RSI is bullish. This indicates that despite recent price weakness, the stock may be approaching oversold conditions on a longer-term basis, potentially setting the stage for a future rebound if other conditions improve.

Bollinger Bands and KST Indicators

Bollinger Bands on both weekly and monthly charts are mildly bearish, signalling that price volatility is skewed towards the downside. The stock price is closer to the lower band, which often acts as a support level but also reflects selling pressure. Meanwhile, the Know Sure Thing (KST) indicator is bearish on both weekly and monthly timeframes, reinforcing the negative momentum and suggesting that the downtrend may persist.

Additional Technical Signals

Other technical tools such as Dow Theory and On-Balance Volume (OBV) provide further insight. The weekly Dow Theory shows no clear trend, indicating indecision in the short term, but the monthly Dow Theory is mildly bearish, aligning with the broader negative outlook. OBV readings are neutral on the weekly chart but mildly bearish monthly, suggesting that volume trends are not supporting price advances.

Comparative Returns and Market Context

Examining Hexa Tradex’s returns relative to the Sensex reveals a mixed performance. Over the past week, the stock outperformed the Sensex with a 0.78% gain versus the benchmark’s 0.43%. However, over one month, Hexa Tradex declined by 1.07%, underperforming the Sensex’s 0.24% loss. Year-to-date, the stock has fallen 1.53%, slightly better than the Sensex’s 1.81% decline.

Longer-term returns paint a more challenging picture. Over the past year, Hexa Tradex has dropped 24.32%, while the Sensex gained 9.85%. Even over three years, the stock’s 2.51% return pales against the Sensex’s robust 37.89%. Despite this, the five- and ten-year returns remain impressive, with gains of 222.08% and 992.88% respectively, substantially outperforming the Sensex’s 62.34% and 264.02% over the same periods. This suggests that while recent momentum is weak, the company has delivered strong long-term value.

Mojo Score and Grade Implications

MarketsMOJO’s current Mojo Score for Hexa Tradex stands at 17.0, with a Mojo Grade of Strong Sell, downgraded from Sell on 1 February 2026. This downgrade reflects the accumulation of bearish technical signals and weakening price action. The Market Cap Grade is 4, indicating a relatively small market capitalisation, which can contribute to higher volatility and risk.

The Strong Sell rating suggests that investors should exercise caution and consider reducing exposure until technical conditions improve. The downgrade aligns with the bearish technical trend and the negative signals from moving averages, KST, and monthly MACD.

Investor Takeaway and Outlook

Hexa Tradex Ltd’s technical indicators collectively point to a bearish momentum phase, with the recent downgrade to Strong Sell underscoring the risks ahead. The daily moving averages and KST indicators suggest that the stock is likely to face continued selling pressure in the near term. Meanwhile, the mixed signals from MACD and RSI imply that any short-term rallies may be limited and should be approached with caution.

Investors should weigh the stock’s strong long-term returns against its current technical weakness. The company’s underperformance relative to the Sensex over the past year and three years highlights challenges in maintaining momentum amid a volatile NBFC sector environment. Given the small market cap and the bearish technical backdrop, risk-averse investors may prefer to reduce holdings or await clearer signs of trend reversal.

Monitoring key technical levels such as the 52-week low of ₹148.80 and the behaviour of moving averages will be critical in assessing potential recovery. A sustained move above daily moving averages and a bullish crossover in MACD could signal a turnaround, but until then, caution remains warranted.

Summary

Hexa Tradex Ltd’s recent technical deterioration, reflected in a Strong Sell Mojo Grade and bearish momentum indicators, signals a challenging period ahead for the stock. While long-term returns remain impressive, the current technical landscape advises prudence. Investors should closely monitor technical signals and broader market conditions before considering new positions.

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