Menon Bearings Ltd Sees Mixed Technical Signals Amid Price Momentum Shift

Price Momentum and Recent Market Performance

On 10 Feb 2026, Menon Bearings Ltd closed at ₹122.60, up from the previous close of ₹115.90, marking a robust intraday gain. The stock traded within a range of ₹116.25 to ₹123.00, moving closer to its 52-week high of ₹145.20, while comfortably above its 52-week low of ₹73.00. This price action indicates renewed investor interest, possibly driven by sectoral tailwinds in the Auto Components & Equipments industry.

Comparatively, Menon Bearings has outperformed the Sensex across multiple timeframes. Over the past week, the stock surged 9.46% against the Sensex’s 2.94%, and year-to-date returns stand at 14.74% versus a negative 1.36% for the benchmark. Even on a one-year basis, the stock delivered 9.07% returns, slightly ahead of the Sensex’s 7.97%. However, longer-term returns over three and five years show the stock lagging behind the Sensex, with 16.04% and 106.57% gains respectively, compared to the Sensex’s 38.25% and 63.78%. This suggests that while Menon Bearings has recently gained momentum, it has historically underperformed the broader market.

Technical Indicators: A Mixed Bag

The technical trend for Menon Bearings has shifted from mildly bearish to sideways, reflecting a period of consolidation after recent gains. The Moving Average Convergence Divergence (MACD) indicator presents a dichotomy: the weekly MACD is mildly bullish, signalling potential upward momentum in the short term, while the monthly MACD remains bearish, indicating longer-term caution.

The Relative Strength Index (RSI) on both weekly and monthly charts currently shows no definitive signal, hovering in neutral territory. This suggests that the stock is neither overbought nor oversold, reinforcing the sideways trend interpretation.

Bollinger Bands provide a more optimistic outlook, with both weekly and monthly readings indicating bullishness. The stock price is trading near the upper band on the weekly chart, which often signals strength and potential continuation of upward movement, although it also warrants caution for possible short-term pullbacks.

Moving Averages and Other Momentum Indicators

The daily moving averages for Menon Bearings remain mildly bearish, suggesting that despite recent gains, the stock has yet to establish a strong upward trend on a short-term basis. This is consistent with the sideways technical trend, indicating a period of indecision among investors.

The Know Sure Thing (KST) indicator offers a more positive signal, with weekly readings mildly bullish and monthly readings bullish. This momentum oscillator’s improvement hints at strengthening price momentum over the medium term, potentially supporting a breakout from the current consolidation phase.

Conversely, the Dow Theory analysis shows a mildly bearish trend on the weekly chart and no clear trend on the monthly chart, underscoring the mixed signals from traditional trend-following methods.

On-Balance Volume (OBV) indicators on both weekly and monthly timeframes show no discernible trend, indicating that volume flow is not strongly supporting either buying or selling pressure at present. This lack of volume confirmation adds to the cautious outlook.

Mojo Score and Grade Update

Reflecting these mixed technical signals and the current market context, Menon Bearings’ Mojo Score stands at 41.0, categorised as a Sell rating. This represents a downgrade from the previous Hold grade, effective from 1 Feb 2026. The downgrade signals increased caution among analysts, likely due to the inconclusive momentum and the mildly bearish moving averages despite recent price gains.

The company’s market cap grade is 4, indicating a mid-sized market capitalisation within its sector. Investors should weigh this alongside the technical indicators and recent price action when considering exposure to Menon Bearings.

Sector and Industry Context

Menon Bearings operates within the Auto Components & Equipments sector, a segment that has shown resilience amid fluctuating economic conditions. The sector’s performance often correlates with broader automotive industry trends and cyclical demand for vehicle components. Menon Bearings’ recent outperformance relative to the Sensex suggests it may be benefiting from sector-specific catalysts or company-specific developments.

However, the mixed technical signals imply that investors should remain vigilant. The sideways trend and neutral RSI readings suggest that the stock may be consolidating gains before a clearer directional move emerges.

Investor Takeaway and Outlook

Menon Bearings Ltd’s recent price momentum and technical indicator signals present a complex picture for investors. The stock’s strong short-term gains and bullish weekly MACD and Bollinger Bands readings suggest potential for further upside. However, the mildly bearish daily moving averages, neutral RSI, and lack of volume confirmation temper enthusiasm.

Given the downgrade to a Sell Mojo Grade and the sideways technical trend, investors should approach the stock with caution. Those considering entry may prefer to wait for clearer confirmation of trend direction, such as a sustained breakout above recent highs supported by volume and positive momentum indicators.

Long-term investors should also consider the stock’s historical underperformance relative to the Sensex over three and five years, balancing recent gains against broader market trends and sector dynamics.

In summary, Menon Bearings Ltd currently sits at a technical crossroads, with mixed signals requiring careful analysis and monitoring before committing capital.

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