Shri Venkatesh Refineries Ltd Faces Technical Momentum Shift Amid Mixed Market Signals

Technical Momentum and Price Action

At the close on 25 February 2026, Shri Venkatesh Refineries Ltd’s stock price stood at ₹269.90, down 2.51% from the previous close of ₹276.85. The intraday range was relatively broad, with a low of ₹261.15 and a high of ₹290.00, indicating heightened volatility. The stock remains well below its 52-week high of ₹333.80 but comfortably above the 52-week low of ₹181.00, suggesting a consolidation phase within a defined trading band.

The shift from a mildly bullish to a sideways technical trend signals a pause in upward momentum, with neither buyers nor sellers asserting clear control. This is corroborated by the Dow Theory readings, which show no clear weekly trend but a mildly bullish monthly trend, underscoring the mixed signals investors face.

MACD and KST Indicators Signal Bearish Pressure

The Moving Average Convergence Divergence (MACD) indicator, a key momentum oscillator, has turned mildly bearish on both weekly and monthly timeframes. This suggests that the stock’s upward momentum is weakening, with the MACD line crossing below its signal line, a classic sell signal. Similarly, the Know Sure Thing (KST) indicator, which aggregates multiple rate-of-change measures, has also deteriorated to a mildly bearish stance on weekly and monthly charts, reinforcing the view of waning momentum.

These bearish signals imply that the stock could face downward pressure in the near term unless offset by stronger buying interest or positive fundamental developments.

RSI and Bollinger Bands Paint a Mixed Picture

The Relative Strength Index (RSI), a momentum oscillator that measures overbought or oversold conditions, currently shows no definitive signal on either weekly or monthly charts. This neutral RSI reading suggests that the stock is neither overextended to the upside nor oversold, aligning with the sideways price action observed.

Bollinger Bands, which measure price volatility and potential reversal points, present a contrasting view. On the weekly chart, the bands indicate a bearish trend, with the price hugging the lower band, signalling selling pressure. Conversely, the monthly Bollinger Bands remain mildly bullish, hinting at longer-term support and potential for a rebound if the stock can stabilise.

Moving Averages and Volume Trends

Daily moving averages continue to show a mildly bullish trend, with the stock price trading slightly above its short-term averages. This suggests that despite recent weakness, the stock retains some underlying strength in the short term. However, the absence of strong volume confirmation, as indicated by the lack of clear signals from On-Balance Volume (OBV) data, tempers enthusiasm for a sustained rally.

Comparative Performance Against Sensex

Examining Shri Venkatesh Refineries Ltd’s returns relative to the Sensex provides further context to its technical challenges. Over the past week, the stock outperformed the benchmark with a 3.83% gain against the Sensex’s 1.47% decline. However, this short-term strength masks broader underperformance, as the stock has declined 6.9% over the past month and 7.33% year-to-date, compared to the Sensex’s modest gains of 0.84% and 3.51%, respectively.

Longer-term returns remain robust, with a 24.09% gain over the past year and an impressive 169.9% over three years, significantly outpacing the Sensex’s 10.44% and 38.28% returns over the same periods. This disparity highlights the stock’s cyclical volatility and the importance of technical signals in timing investment decisions.

Mojo Score and Grade Downgrade Reflect Caution

MarketsMOJO’s proprietary scoring system assigns Shri Venkatesh Refineries Ltd a Mojo Score of 37.0, categorising it as a Sell with a recent downgrade from Hold effective 1 January 2026. The Market Cap Grade remains low at 4, indicating limited market capitalisation strength relative to peers. This downgrade reflects the deteriorating technical indicators and the sideways momentum, signalling increased risk for investors.

Sector and Industry Context

Operating within the edible oil sector, Shri Venkatesh Refineries Ltd faces sector-specific headwinds including commodity price volatility and regulatory pressures. The mixed technical signals may also reflect broader sector rotation and investor sentiment shifts. While the edible oil sector has shown resilience in recent years, individual stock performance remains sensitive to technical momentum and market dynamics.

Investor Takeaway and Outlook

Investors in Shri Venkatesh Refineries Ltd should approach with caution given the current technical landscape. The convergence of bearish MACD and KST signals on weekly and monthly charts, combined with sideways price momentum and a downgraded Mojo Grade, suggests limited upside in the near term. The absence of strong RSI signals and mixed Bollinger Band readings further complicate the outlook.

However, the mildly bullish daily moving averages and the stock’s historical outperformance over longer horizons indicate that a recovery remains possible if positive catalysts emerge. Close monitoring of volume trends and confirmation from leading indicators will be essential to identify any sustainable trend reversal.

In summary, Shri Venkatesh Refineries Ltd currently navigates a technical crossroads, with momentum indicators signalling caution amid a broader sideways consolidation. Investors should weigh these technical factors alongside fundamental considerations and sector dynamics before committing fresh capital.

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