Can sharp fall in crude oil prices brighten the outlook for paint stocks? Here’s what charts say

Paint stocks are buzzing in the recent rally after FII’s resumed buying in the Indian equity markets. The rally was paired with sharp fall in crude oil prices from the three-year high levels. All the major crude sensitive stocks witnessed sharp improvement in the sentiment. However, paint stocks in particular witnessed up to 16% rally in the previous ten trading sessions. Here is how paint stocks fare on technical charts after the recent rally

Asian Paints

The industry leader has shown remarkable recovery from the recent lows, surging 15% from October 30 lows. The shares have crossed the crucial 200 EMA level of ₹2,511 apiece. Besides this, the stock is also indicating towards a positive crossover of 20 EMA crossing 50 EMA from below. On a YTD basis, Asian Paints shares are trading 8% lower in 2026, underperforming the benchmark NIFTY50 index.

Berger Paints

Shares of another decorative paints leader, Berger Paints too rallied 8% in the recent rally. However, it failed to sustain above 200 EMA levels of ₹492 apiece. The shares are now trading 3% higher in the past ten trading days, when the other peers surged over 10% in the similar period. Despite the short pause, the stock indicates towards a positive crossover of 20 EMA crossing 50 EMA from below.

Indigo Paints

The industrial and commercrial grade paints leader, Indigo Paints shares surged 16% in merely eight trading days amid broader optimism for paint stocks after sharp fall in the crude oil prices. The shares crossed 20 EMA levels on Wednesday, but still remains below 50 EMA. Besides this, the shares also trade below the long-term moving average of 200 EMA of ₹1,034 apiece.

Kansai Nerolac

Shares of Kansai Nerolac, one of India’s leading decorative and home paints player, displayed one of the sharpest rallies amongst its peers. The shares have rallied over 17% in November on a month-to-date basis, indicating strong investor optimism. During this rally, the shares crossed the long-term 200 day EMA level of ₹202 apiece. Beside, the shares also saw a positive crossover of 20 EMA crossing 50 EMA from below, lifting the shares further higher.

JSW Dulux

Shares of JSW Dulux also witnessed strong rally of 16 from the November 4 lows amid broader optimism for the paint sector. The shares have now crossed 20 and 50 EMA levels. However, they still trade below 200 EMA of ₹305 apiece.

Paint sector Q2FY27 earnings review

The paint companies have delivered largely double-digit topline growth for the quarter ended September 2026. Asian Paints and Kansai Nerolac delivered 16.9% and 18.6% revenue growth for the quarter. However, all the companies witnessed margin compression across the board, largely due to elevated crude oil prices. Consequently, the bottomline showed a single-digit returns for majority of the players. Except all, Indigo Paints witnessed sharp drop in the bottomline.

Bottomline

The paint sector stocks have witnessed a sharp rally in a short period of time. A few stocks managed to cross 200 EMA levels, while others are trading below the long-term moving average levels. The sharp fall in crude oil prices and bargain hunting at lower levels have led to renewed demand for paint stocks, which deliver high value amid turbulent times.