Rajesh Exports Ltd Gains 5.58%: 3 Key Factors Driving Volatile Week

2 February 2026: Weak Start Amid Market Downturn

Rajesh Exports Ltd opened the week on a subdued note, closing at Rs.158.80, down 3.14% from the previous Friday’s close of Rs.163.95. This decline was sharper than the Sensex’s 1.03% fall to 35,814.09, reflecting initial investor caution. The stock’s volume was moderate at 12,798 shares, indicating limited buying interest amid broader market weakness.

3 February 2026: Upper Circuit Triggered on Robust Buying

The stock rebounded sharply on 3 February, hitting its upper circuit limit with a 4.97% gain to close at Rs.169.50. This surge outpaced the Sensex’s 2.63% rise to 36,755.96 and the Gems, Jewellery and Watches sector’s 3.35% gain. The upper circuit was triggered due to strong buying pressure, with unfilled demand leading to a regulatory trading freeze. Delivery volumes increased by 5.69% over the five-day average, signalling genuine accumulation by investors rather than speculative trading. Despite this short-term bullish momentum, the stock remained below its longer-term moving averages, indicating a cautious technical outlook.

4 February 2026: Consecutive Upper Circuit Amid Diverging Delivery Volumes

Rajesh Exports Ltd continued its strong run on 4 February, again hitting the upper circuit at Rs.177.97, a 4.98% gain that outperformed the sector’s 1.4% rise and the Sensex’s modest 0.37% increase. The stock’s market capitalisation rose to approximately Rs.5,167 crore. However, delivery volumes fell sharply by 80.97% compared to the five-day average, suggesting that much of the day’s activity was driven by intraday or speculative trades rather than sustained investor accumulation. The regulatory freeze due to unfilled demand underscored the stock’s volatility and strong short-term buying interest. Despite this, the stock remained below its 50-day and longer moving averages, indicating that the longer-term trend had yet to confirm the rally.

5 February 2026: Continued Rally on Heavy Volume

The upward momentum persisted on 5 February, with the stock closing at Rs.180.75, up 3.29%. This marked a three-day winning streak and a cumulative gain of over 13% from the week’s low. Volume surged to 24,874 shares, with delivery volumes spiking by 181.26%, indicating strong investor participation and accumulation. The stock’s price remained above its short-term moving averages, reinforcing the bullish technical stance. However, the Sensex declined by 0.53% that day, highlighting the stock’s relative strength amid a weakening broader market.

6 February 2026: Sharp Reversal to Lower Circuit Amid Heavy Selling

The week ended on a volatile note as Rajesh Exports Ltd plunged to its lower circuit limit, closing at Rs.173.10, down 4.23%. This decline was sharper than the Sensex’s marginal 0.10% gain to 36,730.20. The stock opened near its recent highs but succumbed to intense selling pressure, triggering a regulatory trading halt to curb volatility. Delivery volumes remained elevated, indicating panic selling and longer-term investor exits. The sharp reversal broke the recent winning streak and raised concerns about the sustainability of the prior rally. The stock’s Mojo Score remains at 41.0 with a ‘Sell’ grade, reflecting fundamental caution despite the recent price swings.

Key Takeaways

Rajesh Exports Ltd’s week was characterised by significant volatility, with the stock outperforming the Sensex by 4.07 percentage points despite sharp intraday swings. The two upper circuit hits on 3 and 4 February reflected strong short-term buying interest and unfilled demand, signalling bullish momentum. However, the divergence between price gains and delivery volumes on 4 February suggested speculative trading rather than broad-based accumulation.

The surge in delivery volumes on 5 February indicated renewed investor participation, supporting the rally to a weekly high of Rs.180.75. Yet, the sharp reversal to the lower circuit on 6 February highlighted the fragility of the rally and the presence of heavy selling pressure, possibly triggered by profit-taking or fundamental concerns.

Technically, the stock remains above short-term moving averages but below longer-term averages, indicating a mixed trend. The company’s Mojo Score of 41.0 and ‘Sell’ grade underline fundamental caution, suggesting that investors should weigh the recent price action against underlying risks.

Conclusion

The week’s price action for Rajesh Exports Ltd underscores a volatile trading environment shaped by strong investor interest, regulatory trading halts, and shifting market sentiment. While the stock demonstrated resilience by outperforming the broader market, the sharp sell-off on the final day serves as a reminder of the risks inherent in small-cap stocks within cyclical sectors like gems and jewellery.

Investors should monitor upcoming corporate developments and sector trends closely, balancing technical signals with fundamental assessments. The current ‘Sell’ Mojo Grade and the stock’s susceptibility to regulatory freezes suggest a cautious approach amid ongoing market uncertainties.

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