Kiri Industries Ltd Faces Intensified Downtrend Amid Technical Momentum Shift

Price Movement and Market Context

Kiri Industries closed at ₹496.50 on 12 Jan 2026, down 5.17% from the previous close of ₹523.55. The intraday range saw a high of ₹527.00 and a low of ₹494.00, hovering close to its 52-week low of ₹484.35, significantly below its 52-week high of ₹778.00. This decline contrasts sharply with the broader market, as the Sensex posted a modest 1.93% gain year-to-date, while Kiri Industries has fallen 31.60% over the same period.

Over the past week, the stock has underperformed drastically, dropping 19.48% compared to the Sensex’s 2.55% decline. The one-month return also paints a grim picture, with Kiri Industries down 12.81% against the Sensex’s 1.29% fall. Even on a one-year basis, the stock has declined 17.78%, while the Sensex has gained 7.67%. These figures underscore the stock’s persistent weakness relative to the benchmark index.

Technical Trend Shift: From Mildly Bearish to Bearish

The technical trend for Kiri Industries has shifted from mildly bearish to outright bearish, signalling increased selling pressure. The daily moving averages are firmly bearish, with the stock trading below key averages, indicating a downtrend in the short term. This is corroborated by the Bollinger Bands, which show bearish signals on both weekly and monthly charts, suggesting heightened volatility and downward momentum.

The Moving Average Convergence Divergence (MACD) indicator presents a mixed picture: weekly MACD remains mildly bullish, hinting at some short-term buying interest, but the monthly MACD is mildly bearish, reflecting longer-term weakness. The Relative Strength Index (RSI) on both weekly and monthly timeframes currently shows no clear signal, hovering in neutral territory, which suggests the stock is neither oversold nor overbought but lacks directional conviction.

Additional Technical Indicators

The Know Sure Thing (KST) oscillator aligns with the MACD’s mixed signals, mildly bullish on the weekly chart but mildly bearish monthly, reinforcing the notion of short-term support amid longer-term downtrend pressures. The On-Balance Volume (OBV) indicator is mildly bearish on both weekly and monthly charts, indicating that volume trends are not supporting price advances and that selling volume is likely dominating.

Dow Theory analysis further confirms the bearish sentiment, with the weekly trend mildly bearish and no discernible trend on the monthly scale. This lack of a strong monthly trend suggests uncertainty and potential consolidation, but the prevailing weekly weakness points to continued downside risk in the near term.

Mojo Score and Grade Downgrade

Kiri Industries’ Mojo Score currently stands at 3.0, with a Market Cap Grade of 3, reflecting its small-cap status and moderate market capitalisation. The Mojo Grade was downgraded from Sell to Strong Sell on 2 June 2025, signalling a deterioration in the company’s overall quality and technical outlook. This downgrade is consistent with the bearish technical signals and weak price performance observed over recent months.

The downgrade also reflects concerns about the company’s relative underperformance within the Dyes and Pigments sector, which has seen some peers maintain steadier trends. Investors should note that the stock’s long-term returns, while positive over a 10-year horizon at 362.72%, lag behind the Sensex’s 235.19% gain when adjusted for volatility and recent performance.

Comparative Sector and Market Analysis

Within the Dyes and Pigments industry, Kiri Industries’ technical deterioration contrasts with some sector peers that have maintained more stable momentum. The sector itself has faced headwinds from fluctuating raw material costs and global supply chain disruptions, which have impacted earnings visibility. Kiri’s technical indicators suggest it is more vulnerable to these pressures, with bearish moving averages and volume trends indicating a lack of institutional support.

From a broader market perspective, the Sensex’s resilience year-to-date and over the past year highlights the stock’s relative weakness. This divergence emphasises the need for investors to carefully assess Kiri Industries’ risk profile, especially given its current technical and fundamental challenges.

Investor Implications and Outlook

Given the current technical landscape, investors should approach Kiri Industries with caution. The bearish moving averages and negative volume trends suggest that the stock may continue to face downward pressure in the near term. The absence of strong RSI signals indicates that the stock is not yet oversold, leaving room for further declines before a potential reversal.

Short-term traders might find limited opportunities given the mixed weekly MACD and KST signals, but the prevailing monthly bearishness advises prudence. Long-term investors should weigh the stock’s historical outperformance over a decade against its recent underperformance and deteriorating technicals.

Overall, the downgrade to Strong Sell by MarketsMOJO reflects a comprehensive assessment of Kiri Industries’ technical and fundamental challenges. Investors seeking exposure to the Dyes and Pigments sector may consider exploring better-rated alternatives with stronger momentum and more favourable technical profiles.

Summary of Key Technical Indicators

• Daily Moving Averages: Bearish, with price below key averages


• MACD: Weekly mildly bullish; Monthly mildly bearish


• RSI: Neutral on weekly and monthly charts


• Bollinger Bands: Bearish on weekly and monthly timeframes


• KST: Weekly mildly bullish; Monthly mildly bearish


• Dow Theory: Weekly mildly bearish; Monthly no clear trend


• OBV: Mildly bearish on weekly and monthly charts

These indicators collectively suggest a predominance of bearish momentum, particularly over longer timeframes, with some short-term oscillations that may offer limited relief but do not yet signal a sustained recovery.

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