TATA MOTORS LTD (NSE) BUY

 

Technical Analysis for TATA MOTORS LTD (NSE)

1. Current Market Price (CMP):

• CMP: ₹704.80
• Buy Price: ₹705.15
• Sell Price: ₹705.10

2. Support & Resistance Levels:

• Support Levels: ₹700, ₹688
• Resistance Levels: ₹708, ₹716

3. RSI Analysis (Relative Strength Index):

• RSI (14): 46.58
• Signal Line: 44.56
• Interpretation:
  • RSI below 50 indicates neutral to slightly weak momentum.
  • If RSI falls below 40, it may enter oversold territory, signaling a potential reversal.
  • If RSI moves above 60, it could indicate strong buying momentum.

4. Trend Analysis:

• The price showed a sharp upward movement but faced resistance near ₹708 and declined.
• The stock is currently consolidating near ₹704.80, indicating indecision in the market.
• Volume analysis shows increased trading activity during the upward movement.

5. Trading Strategy:

Short-Term (Intraday/Swing Trade):

• Buy above ₹708 for a target of ₹716 with a stop loss at ₹700.
• Sell below ₹700 for a target of ₹688 with a stop loss at ₹708.

Long-Term View:

• If the stock sustains above ₹716, it may show bullish momentum toward ₹724+.
• Below ₹688, it may witness further downside toward ₹680 levels.

6. Conclusion:

• The stock is currently consolidating with neutral RSI.
• Traders should wait for a breakout above ₹708 or a breakdown below ₹700 for clear direction.
• Volume analysis and RSI movement should be closely monitored for confirmation.