Welspun Corp Gains 5.36%: 4 Key Technical Shifts Shape Weekly Momentum

23 February 2026: Modest Start Amid Market Strength

Welspun Corp began the week at ₹783.25, registering a slight increase of 0.02% despite the Sensex advancing 0.39% to 36,817.86. Trading volume was moderate at 11,756 shares. The stock’s stability on this day reflected cautious investor sentiment as the broader market showed strength. This set the stage for the technical developments that would unfold in the following sessions.

24 February 2026: Technical Momentum Shifts Amid Mixed Signals

The stock declined by 0.96% to ₹775.75 on 24 February, underperforming the Sensex which fell 0.78% to 36,530.09. This drop coincided with a nuanced shift in Welspun Corp’s technical momentum, as mixed bullish and bearish indicators emerged. The Moving Average Convergence Divergence (MACD) showed divergence between weekly mild bullishness and monthly mild bearishness, while the Relative Strength Index (RSI) hovered in neutral territory. Daily moving averages remained bearish, signalling resistance to upward price movement in the short term. The stock traded within a range of ₹770.45 to ₹790.30, reflecting moderate volatility.

25 February 2026: Bearish Signals Intensify but Price Rebounds

On 25 February, Welspun Corp’s price rebounded strongly by 2.75% to ₹797.05, outperforming the Sensex which gained 0.41% to 36,679.75. Despite this price recovery, technical momentum shifted more decisively towards bearishness. The daily moving averages turned bearish, and the weekly RSI moved into bearish territory, signalling increased selling pressure. The MACD remained mildly bullish weekly but turned mildly bearish monthly, indicating a transitional phase with short-term rallies facing resistance from longer-term downtrends. The stock traded between ₹774.15 and ₹798.95, showing increased volatility and investor indecision.

26 February 2026: MarketsMOJO Upgrades to Hold as Technicals Improve

Welspun Corp surged 3.43% to ₹824.35 on 26 February, significantly outperforming the Sensex’s modest 0.19% gain to 36,748.49. This price jump coincided with MarketsMOJO upgrading the stock’s rating from 'Sell' to 'Hold', reflecting a nuanced improvement in technical outlook. The upgrade was driven by a shift from bearish to mildly bearish technical trends, with the weekly MACD turning mildly bullish and the On-Balance Volume (OBV) showing signs of accumulation on the monthly chart. Valuation metrics remained attractive, with a Price to Book ratio of 2.6 and a robust return on equity of 21.6%. Despite flat quarterly financial results, the upgrade acknowledged the stock’s improved risk-reward profile amid mixed technical signals.

27 February 2026: Week Closes with Marginal Gain Amid Market Weakness

Welspun Corp closed the week at ₹825.10, up 0.09% on the day, while the Sensex declined 1.16% to 36,322.56. The stock’s resilience amid broader market weakness underscored its relative strength. Technical indicators remained mixed, with the weekly MACD mildly bullish but the monthly MACD still mildly bearish. The RSI on the weekly chart was bearish, while the monthly RSI remained neutral. Daily moving averages continued to show mild bearishness, suggesting the stock is in a consolidation phase. Volume was moderate at 14,625 shares, reflecting steady investor interest as the stock held near its weekly high.

Key Takeaways

Outperformance Amid Volatility: Welspun Corp’s 5.36% weekly gain contrasted sharply with the Sensex’s 0.96% decline, highlighting the stock’s relative strength despite mixed technical signals and broader market weakness.

Technical Momentum Shifts: The week saw a transition from bearish to mildly bearish technical trends, with the MarketsMOJO rating upgraded from Sell to Hold on 26 February. Key indicators such as the weekly MACD turned mildly bullish, while the monthly MACD remained mildly bearish, signalling a complex momentum landscape.

Valuation and Quality Metrics: The company’s attractive Price to Book ratio of 2.6 and strong return on equity of 21.6% underpin the Hold rating, despite flat recent financial results and short-term earnings softness.

Volume and Institutional Interest: Mixed On-Balance Volume signals suggest steady accumulation on a monthly basis, supported by significant institutional holdings of 31.99%, which may provide stability amid short-term price fluctuations.

Resistance and Support Levels: The stock’s ability to sustain levels above ₹790 and break decisively above daily moving averages will be critical to confirm renewed bullish momentum. Failure to hold support near ₹770 could invite further downside pressure.

Conclusion

Welspun Corp Ltd. demonstrated a resilient performance this week, gaining 5.36% and outperforming the Sensex by over 6 percentage points. The MarketsMOJO upgrade to a Hold rating reflects a cautious optimism driven by improved technical momentum and attractive valuation metrics, despite recent earnings challenges. Mixed signals from key indicators such as MACD, RSI, and moving averages suggest the stock is in a transitional phase, balancing short-term bullish impulses against longer-term caution.

Investors should monitor the stock’s ability to maintain support levels and confirm technical breakouts, while considering the broader sector dynamics and macroeconomic factors influencing the iron and steel products industry. The significant institutional stake and steady volume trends provide a foundation for potential stability, but vigilance remains warranted amid ongoing volatility.

Overall, Welspun Corp’s weekly performance and technical developments underscore the importance of a balanced approach, recognising both the opportunities and risks inherent in the current market environment.

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