Asian Paints fell 4.52% to Rs 2,891.95 extending its losing run to second consecutive trading session.

Shares of Asian Paints declined nearly 8.9% in two trading sessions from its previous closing low of Rs 3172.65 posted on 28 February 2022. The counter has declined 19.4% from its record high of Rs 3,588.05 posted on 10 January 2022.

In last one month, the stock has moved nearly 9.7% lower as compared to the Nifty 50 index which fell 5.8% in the same period.

The counter saw selling pressure following a steep rise in crude oil prices. Higher crude oil increases input costs for paint companies, which use crude derivatives. Higher input prices decrease profitability and margins for paint companies.

In the commodities market, Brent crude for May 2022 settlement jumped $4.55 to $117.48 a barrel. Crude oil prices surged after the OPEC and its allies on Wednesday decided to hold production steady despite the recent dramatic spike in oil prices.

On the technical front, the stock’s RSI (relative strength index) stood at 29.180. The RSI oscillates between zero and 100. Traditionally the RSI is considered overbought when above 70 and oversold when below 30.

The stock is trading below its 50 and 100 days simple moving average placed at 3278.72 and 3223.54 respectively. These levels will act as crucial support zones in near term.

Asian Paints is a leading paint company of India. The company along with its subsidiaries has operations in 15 countries across the world with 26 paint manufacturing facilities, servicing consumers in over 60 countries.

The paint maker’s consolidated net profit fell 18.49% to Rs 1,031.29 crore on a 25.61% surge in revenue from operations to Rs 8,527.24 crore in Q3 FY22 over Q3 FY21.

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

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