Nitta Gelatin India Ltd Technical Momentum Shifts Signal Stabilisation

Technical Trend Overview

As of early February 2026, Nitta Gelatin’s technical trend has transitioned from mildly bearish to sideways, signalling a pause in directional momentum. The stock closed at ₹843.90 on 5 Feb 2026, up 0.90% from the previous close of ₹836.40, with intraday highs touching ₹847.00 and lows at ₹835.40. This price action suggests a cautious market stance, with neither bulls nor bears firmly in control.

The 52-week price range remains broad, with a low of ₹640.00 and a high of ₹1,005.00, indicating significant volatility over the past year. The current price sits approximately 16% below its 52-week high, reflecting some retracement from earlier peaks.

MACD and Momentum Oscillators

The Moving Average Convergence Divergence (MACD) indicator presents a mixed outlook. On the weekly chart, MACD is mildly bullish, suggesting some upward momentum in the near term. However, the monthly MACD remains mildly bearish, indicating that longer-term momentum has yet to fully confirm a sustained uptrend. This divergence between weekly and monthly MACD readings highlights the stock’s current consolidation phase.

The Relative Strength Index (RSI) offers no clear signal on either the weekly or monthly timeframe, hovering in a neutral zone. This lack of RSI confirmation aligns with the sideways price action, as the stock neither exhibits overbought nor oversold conditions.

Moving Averages and Bollinger Bands

Daily moving averages are mildly bearish, reflecting recent price softness relative to short-term averages. This suggests that while the stock has gained over the past week and month, it remains vulnerable to short-term corrections. Conversely, Bollinger Bands on both weekly and monthly charts are mildly bullish, indicating that price volatility is contained within an upward trending channel, which could support a gradual price appreciation if momentum strengthens.

Additional Technical Indicators

The Know Sure Thing (KST) oscillator shows a bearish signal on the weekly chart but a bullish signal on the monthly chart, reinforcing the theme of short-term caution amid longer-term optimism. Dow Theory assessments on both weekly and monthly timeframes are mildly bullish, suggesting that the broader market trend for Nitta Gelatin remains positive despite recent consolidation.

Comparative Performance Against Sensex

Fundamental momentum is supported by the stock’s strong relative performance versus the Sensex. Over the past week, Nitta Gelatin surged 8.39%, significantly outperforming the Sensex’s 1.79% gain. Over one month, the stock rose 3.17% while the Sensex declined 2.27%, and year-to-date returns stand at 3.67% compared to the Sensex’s negative 1.65%. Over longer horizons, the stock’s outperformance is even more pronounced, with a 5-year return of 379.49% versus the Sensex’s 65.60%, and a 10-year return of 317.15% compared to 244.38% for the benchmark index.

Mojo Score and Rating Update

MarketsMOJO has upgraded Nitta Gelatin India Ltd’s Mojo Grade from Sell to Hold as of 1 Feb 2026, reflecting improved technical and fundamental conditions. The current Mojo Score stands at 51.0, indicating a neutral stance with potential for further improvement. The Market Cap Grade is rated 4, suggesting moderate market capitalisation strength within the Specialty Chemicals sector.

This upgrade signals that while the stock is no longer viewed as a sell candidate, investors should maintain a cautious approach and monitor technical developments closely before committing to a stronger buy position.

Sector and Industry Context

Nitta Gelatin operates within the Specialty Chemicals industry, a sector known for cyclical demand and sensitivity to raw material prices. The stock’s sideways technical trend may reflect broader sector consolidation as market participants await clearer signals from global chemical demand and input cost trends. The mild bullishness in Bollinger Bands and Dow Theory indicators suggests that the sector’s underlying fundamentals remain intact, supporting a potential resumption of upward momentum.

Risk and Opportunity Assessment

Investors should note the mixed signals from short-term and long-term technical indicators. The mildly bearish daily moving averages and weekly KST suggest caution in the near term, while monthly MACD and Dow Theory readings provide a more optimistic outlook. The absence of RSI extremes reduces the risk of immediate sharp reversals but also indicates a lack of strong buying enthusiasm.

Given the stock’s strong relative performance against the Sensex and its recent upgrade to Hold, Nitta Gelatin may be poised for a gradual recovery if it can break above key resistance levels near ₹850-860. Conversely, failure to sustain current levels could lead to renewed weakness towards the 52-week low of ₹640.

Conclusion: Navigating a Period of Consolidation

Nitta Gelatin India Ltd’s recent technical parameter changes reflect a stock in transition. The shift from mildly bearish to sideways momentum, combined with mixed signals from MACD, RSI, moving averages, and other oscillators, suggests a consolidation phase rather than a decisive trend reversal. Investors should weigh the stock’s strong relative returns and upgraded Mojo Grade against the cautious short-term technical indicators.

For those with a medium to long-term horizon, the mildly bullish monthly indicators and sector fundamentals provide a foundation for potential gains, provided the stock can overcome near-term resistance. Conversely, traders seeking short-term momentum may prefer to wait for clearer confirmation from weekly and daily technical signals before increasing exposure.

Overall, Nitta Gelatin remains a stock to watch closely, with its technical and fundamental profile signalling a balanced risk-reward scenario in the current market environment.

Upgrade at special rates, valid only for the next few days. Claim Your Special Rate →