Technical Trend Overview and Price Movement
As of 10 Feb 2026, Khaitan Chemicals & Fertilizers Ltd (stock code 511670) closed at ₹66.08, up from the previous close of ₹64.92. The stock traded within a range of ₹64.40 to ₹67.06 during the day, showing intraday volatility but a positive close. This price level remains significantly below its 52-week high of ₹136.00, yet comfortably above the 52-week low of ₹44.37, indicating a recovery phase from the lows but still far from its peak valuations.
The technical trend has shifted from outright bearish to mildly bearish, signalling a tentative improvement in momentum but not a full reversal. This nuanced change suggests that while selling pressure may be easing, the stock has yet to establish a robust bullish trend.
MACD and Momentum Indicators
The Moving Average Convergence Divergence (MACD) indicator remains bearish on the weekly timeframe, signalling that the short-term momentum is still under pressure. However, on the monthly chart, the MACD has improved to mildly bearish, reflecting a slight easing of downward momentum over a longer horizon. This divergence between weekly and monthly MACD readings highlights the stock’s current technical uncertainty, with short-term bears still active but longer-term selling pressure diminishing.
The KST (Know Sure Thing) indicator adds further complexity: it is bearish on the weekly scale but bullish monthly, reinforcing the notion of a potential longer-term turnaround that is yet to materialise in the short term.
RSI and Overbought/Oversold Conditions
The Relative Strength Index (RSI) on both weekly and monthly timeframes currently shows no clear signal, indicating that the stock is neither overbought nor oversold. This neutral RSI reading suggests that the stock price is consolidating, with neither buyers nor sellers dominating decisively. Investors should watch for any RSI movement beyond the typical 30-70 range, which could provide clearer directional cues.
Moving Averages and Bollinger Bands
Daily moving averages remain bearish, signalling that the stock price is trading below key short-term averages, which typically acts as resistance. This bearish stance on moving averages aligns with the cautious sentiment observed in other indicators.
Bollinger Bands on both weekly and monthly charts are mildly bearish, indicating that price volatility is somewhat compressed but with a downward bias. This suggests that while the stock is not experiencing extreme price swings, the prevailing trend is still slightly negative.
Volume and Dow Theory Signals
On-Balance Volume (OBV) readings show no clear trend on weekly or monthly scales, implying that volume is not confirming any strong price movement. Similarly, Dow Theory analysis reveals no definitive trend on either timeframe, reinforcing the technical ambiguity surrounding the stock.
Comparative Performance Against Sensex
Examining Khaitan Chemicals & Fertilizers Ltd’s returns relative to the Sensex provides additional context. Over the past week, the stock outperformed the Sensex with a 3.77% gain versus the benchmark’s 2.94%. However, over the last month, the stock declined by 5.98%, contrasting with the Sensex’s modest 0.59% rise. Year-to-date, Khaitan Chemicals has fallen 16.32%, significantly underperforming the Sensex’s 1.36% decline.
Longer-term returns show a mixed picture: a 1-year return of -4.73% lags the Sensex’s 7.97%, while over three years, the stock has gained 3.98% compared to the Sensex’s robust 38.25%. Notably, over five and ten years, Khaitan Chemicals has delivered exceptional returns of 154.15% and 722.91% respectively, far outpacing the Sensex’s 63.78% and 249.97% gains. This highlights the company’s strong historical growth despite recent volatility.
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Mojo Score and Analyst Ratings
Khaitan Chemicals & Fertilizers Ltd currently holds a Mojo Score of 43.0, categorised as a Sell rating by MarketsMOJO. This represents a downgrade from a previous Hold rating as of 5 Jan 2026, reflecting a deterioration in the company’s technical and fundamental outlook. The Market Cap Grade stands at 4, indicating a mid-tier market capitalisation relative to peers in the fertilizers sector.
The downgrade is consistent with the mixed technical signals and recent underperformance relative to the broader market. Investors should weigh these factors carefully, especially given the stock’s volatile price action and uncertain momentum.
Sector and Industry Context
Operating within the fertilizers industry, Khaitan Chemicals faces sector-specific headwinds including fluctuating input costs, regulatory pressures, and demand variability linked to agricultural cycles. The sector’s performance often correlates with broader economic and monsoon conditions, which can amplify volatility in stock prices.
Given the current mildly bearish technical stance and the company’s relative underperformance over recent months, investors may prefer to monitor sector trends closely before committing to new positions.
Outlook and Investor Considerations
While the stock’s long-term returns remain impressive, the near-term technical indicators suggest caution. The absence of strong bullish signals from MACD, RSI, and moving averages, combined with neutral volume trends, implies that Khaitan Chemicals is in a consolidation phase with potential downside risks.
Investors should watch for confirmation of trend reversals, such as a weekly MACD turning bullish or a sustained break above daily moving averages, before considering accumulation. Conversely, failure to hold current support levels near ₹64 could trigger further declines.
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Summary
Khaitan Chemicals & Fertilizers Ltd is navigating a complex technical landscape characterised by a shift from bearish to mildly bearish momentum. While daily price action shows modest gains, key indicators such as MACD and moving averages remain cautious, and the stock’s relative underperformance against the Sensex over recent months adds to investor concerns.
Long-term investors may find value in the company’s historical growth, but near-term traders should await clearer technical confirmation before increasing exposure. The current Mojo Sell rating and downgrade from Hold further underscore the need for prudence.
Overall, Khaitan Chemicals exemplifies the challenges of investing in cyclical sectors where technical signals can be mixed and market sentiment volatile. A disciplined approach, incorporating both technical and fundamental analysis, will be essential for navigating this stock’s evolving outlook.
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