Recent Price Movement and Market Context
On 17 Feb 2026, Steel Strips Wheels Ltd closed at ₹221.00, down 0.99% from the previous close of ₹223.20. The stock traded within a range of ₹221.00 to ₹225.70 during the day, remaining well below its 52-week high of ₹279.60 but comfortably above the 52-week low of ₹167.50. This price action suggests a consolidation phase after a strong rally over the past year.
Comparatively, the stock has outperformed the Sensex significantly over multiple periods. Year-to-date, Steel Strips Wheels has gained 14.01%, while the Sensex declined by 2.28%. Over one year, the stock’s return stands at 23.29%, more than double the Sensex’s 9.66%. Even over a decade, the stock has delivered a remarkable 635.20% return versus the Sensex’s 259.08%, underscoring its long-term growth credentials despite recent technical caution.
Technical Trend Shift: From Mildly Bullish to Sideways
The technical trend for Steel Strips Wheels has shifted from mildly bullish to sideways, signalling a pause in upward momentum. This transition is evident in the mixed signals from key technical indicators across daily, weekly, and monthly timeframes.
On the daily chart, moving averages have turned mildly bearish, indicating short-term selling pressure. The stock price currently trades below some of its key moving averages, which may act as resistance levels in the near term. This bearish tilt contrasts with the weekly and monthly charts, where momentum indicators show a more nuanced stance.
From struggle to strength! This Small Cap from Textile - Machinery is showing early turnaround signals that look promising. Position yourself now for explosive growth potential ahead!
- - Early turnaround signals
- - Explosive growth potential
- - Textile - Machinery recovery play
MACD and Momentum Indicators
The Moving Average Convergence Divergence (MACD) indicator presents a split view. On a weekly basis, the MACD remains mildly bullish, suggesting that medium-term momentum still favours the bulls. However, the monthly MACD has turned mildly bearish, signalling a potential weakening of longer-term momentum. This divergence between weekly and monthly MACD readings highlights the stock’s current technical uncertainty.
The Relative Strength Index (RSI) offers little directional guidance, with both weekly and monthly RSI readings showing no clear signal. This neutral RSI suggests the stock is neither overbought nor oversold, reinforcing the sideways trend interpretation.
Bollinger Bands and KST Analysis
Bollinger Bands provide additional insight into volatility and trend strength. Weekly Bollinger Bands indicate a mildly bullish stance, with the stock price hovering near the upper band, hinting at potential upward momentum. On the monthly scale, the Bollinger Bands are bullish, reflecting sustained strength over longer periods.
The Know Sure Thing (KST) indicator aligns with this view, showing mild bullishness on the weekly chart and a stronger bullish signal monthly. These momentum oscillators suggest that while short-term price action may be subdued, the underlying trend retains some positive bias.
Other Technical Signals: Dow Theory and OBV
Dow Theory analysis reveals no clear trend on the weekly timeframe, consistent with the sideways price action. However, the monthly Dow Theory reading is mildly bullish, supporting the notion of a longer-term uptrend. On-Balance Volume (OBV) indicators show no discernible trend on either weekly or monthly charts, indicating volume patterns have not confirmed price moves decisively.
Mojo Score and Grade Downgrade
MarketsMOJO has downgraded Steel Strips Wheels Ltd’s Mojo Grade from Hold to Sell as of 16 Feb 2026, reflecting the recent technical deterioration. The current Mojo Score stands at 48.0, signalling weak momentum and caution for investors. The Market Cap Grade remains low at 3, indicating limited market capitalisation strength relative to peers in the Auto Components & Equipments sector.
This downgrade underscores the need for investors to weigh the mixed technical signals carefully before committing fresh capital, especially given the mildly bearish daily moving averages and the monthly MACD’s negative tilt.
Long-Term Performance Context
Despite the recent technical caution, Steel Strips Wheels Ltd’s long-term performance remains impressive. The stock has outpaced the Sensex by a wide margin over 3, 5, and 10-year horizons, delivering returns of 41.85%, 234.57%, and 635.20% respectively, compared to the Sensex’s 35.81%, 59.83%, and 259.08%. This track record highlights the company’s resilience and growth potential within the auto components sector.
However, the current sideways momentum and technical downgrade suggest that the stock may be entering a consolidation phase, requiring investors to monitor key support and resistance levels closely.
Steel Strips Wheels Ltd or something better? Our SwitchER feature analyzes this small-cap Auto Components & Equipments stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Investor Takeaway and Outlook
Steel Strips Wheels Ltd currently presents a mixed technical picture. The shift from mildly bullish to sideways momentum, combined with a downgrade in Mojo Grade to Sell, suggests caution in the near term. The mildly bearish daily moving averages and monthly MACD indicate potential resistance ahead, while weekly and monthly Bollinger Bands and KST readings offer some optimism for a longer-term recovery.
Investors should watch for a decisive break above the recent intraday high of ₹225.70 to confirm renewed bullish momentum. Conversely, a sustained drop below the 52-week low support zone near ₹167.50 would signal further downside risk. Volume patterns remain inconclusive, so confirmation from price action will be critical.
Given the stock’s strong historical outperformance relative to the Sensex, patient investors may consider holding through this consolidation phase, but new entrants should weigh alternative opportunities carefully, especially in light of the current Mojo Sell rating.
Technical Indicator Summary
To summarise the key technical signals:
- MACD: Weekly mildly bullish; Monthly mildly bearish
- RSI: Neutral on both weekly and monthly
- Bollinger Bands: Weekly mildly bullish; Monthly bullish
- Moving Averages: Daily mildly bearish
- KST: Weekly mildly bullish; Monthly bullish
- Dow Theory: Weekly no trend; Monthly mildly bullish
- OBV: No trend on weekly or monthly
This blend of signals points to a stock in technical transition, with momentum indicators suggesting a wait-and-watch approach until clearer directional cues emerge.
Unlock special upgrade rates for a limited period. Start Saving Now →
