Hexa Tradex Ltd Technical Momentum Shifts Amid Bearish Trends

Current Price and Market Context

As of 20 Jan 2026, Hexa Tradex Ltd closed at ₹165.35, down 1.55% from the previous close of ₹167.95. The stock traded within a range of ₹158.80 to ₹169.95 during the day, remaining well below its 52-week high of ₹242.00 and slightly above the 52-week low of ₹149.75. The company’s market capitalisation grade stands at 4, reflecting its mid-tier valuation within the NBFC sector.

Technical Trend Overview

Technical analysis reveals a shift from a mildly bearish to a more pronounced bearish trend. The daily moving averages have deteriorated, signalling sustained selling pressure. The weekly and monthly charts present a complex picture: while the weekly Moving Average Convergence Divergence (MACD) remains mildly bullish, the monthly MACD has turned bearish, indicating longer-term momentum is weakening.

The Relative Strength Index (RSI) on a weekly basis shows no clear signal, hovering in a neutral zone, whereas the monthly RSI has improved to a bullish stance, suggesting some underlying strength over a longer horizon. However, Bollinger Bands indicate bearish pressure on both weekly and monthly timeframes, with the weekly bands showing a stronger bearish bias.

Momentum Oscillators and Volume Analysis

The Know Sure Thing (KST) indicator, which aggregates multiple momentum signals, is bearish on both weekly and monthly charts, reinforcing the negative momentum. Dow Theory assessments align with this, showing a mildly bearish trend weekly and no clear trend monthly. On-Balance Volume (OBV) analysis is inconclusive weekly but mildly bearish monthly, indicating that volume trends are not supporting a strong recovery.

Comparative Returns and Sector Performance

Despite the technical challenges, Hexa Tradex has outperformed the Sensex in the short term. Over the past week, the stock gained 1.47% compared to the Sensex’s decline of 0.75%. Over one month, the stock returned 5.89%, while the Sensex fell 1.98%. Year-to-date, Hexa Tradex is up 1.01%, contrasting with the Sensex’s 2.32% decline. However, over the last year, the stock has underperformed significantly, with a negative return of 26.08% against the Sensex’s 8.65% gain.

Technical Ratings and Market Sentiment

MarketsMOJO’s proprietary Mojo Score for Hexa Tradex currently stands at 31.0, categorised as a Sell rating. This represents a downgrade from the previous Strong Sell grade assigned on 16 Jan 2026, reflecting a slight improvement in technical parameters but still indicating caution. The downgrade in the Mojo Grade suggests that while some short-term momentum has improved, the overall outlook remains negative due to persistent bearish signals from key indicators.

Moving Averages and Price Momentum

The daily moving averages are firmly bearish, with the 50-day moving average trending below the 200-day average, a classic death cross pattern that often precedes further declines. The stock price remains below both these averages, confirming downward momentum. The Bollinger Bands’ contraction on the weekly chart suggests reduced volatility but within a bearish context, indicating a potential continuation of the downtrend rather than a reversal.

MACD and RSI Divergence

The weekly MACD histogram shows a mild bullish divergence, with the MACD line slightly above the signal line, hinting at a possible short-term bounce. However, the monthly MACD remains bearish, signalling that any rally may be limited and temporary. The monthly RSI’s bullish stance contrasts with the weekly RSI’s neutrality, suggesting that while the stock may be oversold in the longer term, immediate momentum is lacking.

Volume and On-Balance Volume (OBV) Insights

Volume trends, as measured by OBV, do not provide strong confirmation of a bullish reversal. The weekly OBV shows no clear trend, while the monthly OBV is mildly bearish, indicating that selling pressure may still dominate. This lack of volume support undermines the potential for a sustained recovery despite some positive momentum indicators.

Long-Term Performance and Investor Implications

Over a 10-year horizon, Hexa Tradex has delivered an impressive return of 884.23%, significantly outperforming the Sensex’s 240.06% gain. The 5-year return of 258.68% also surpasses the Sensex’s 68.52%, highlighting the company’s strong historical growth. However, the recent 1-year underperformance of -26.08% compared to the Sensex’s 8.65% gain signals challenges that investors must consider carefully.

Sector and Industry Considerations

Operating within the NBFC sector, Hexa Tradex faces sector-specific headwinds including tightening credit conditions and regulatory scrutiny. The sector’s cyclical nature means that technical indicators often reflect broader economic trends. The current bearish technical signals align with a cautious outlook for NBFCs amid macroeconomic uncertainties.

Conclusion: Navigating the Technical Landscape

Hexa Tradex Ltd’s technical parameters present a mixed but predominantly bearish picture. While short-term momentum indicators such as the weekly MACD and monthly RSI offer some hope of a rebound, the prevailing trend remains negative, supported by bearish moving averages, Bollinger Bands, and KST indicators. The downgrade from Strong Sell to Sell by MarketsMOJO reflects this nuanced stance, signalling that investors should exercise caution and closely monitor technical developments before committing fresh capital.

Given the stock’s recent underperformance relative to the Sensex and the lack of strong volume support, a conservative approach is advisable. Investors seeking exposure to the NBFC sector might consider evaluating alternative stocks with stronger technical and fundamental profiles, as highlighted by advanced screening tools.

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