Greaves Cotton Limited (GREAVESCOT) Stock - Complete Technical Analysis - Dec 20, 2024

Greaves Cotton Technical Analysis Key Levels to Watch for Breakouts & Pullbacks

Disclaimer: This analysis is for informational purposes only and should not be considered financial advice. Investing in stocks involves risks, and it's essential to conduct thorough research or consult with a financial advisor before making investment decisions. Greaves Cotton Limited (GREAVESCOT), currently priced at 240, has demonstrated significant price action over the last few months, recently trading 7.61% below its 52-week high of 259.49. From a technical perspective, the stock is in a strong bullish phase, with solid momentum backed by positive indicators such as a rising MACD and an ADX of 39, showing the strength of the prevailing trend. However, the RSI of 68 is approaching overbought territory, suggesting the potential for a pullback, especially if it struggles to break resistance at 245.

Support is seen at around 230, with the next major level being 220. On the higher end, resistance is around 245, and a breakout above this level could lead to further upside toward 260. Recent price action reveals no significant gaps or volatile surges, pointing to steady movement, but the stock is experiencing moderate volatility as indicated by its ATR, so potential price swings must be considered.

Traders should watch for confirmation of a breakout above 245 or a breakdown below 230 to signal the next directional move. The stock's recovery from the 52-week low of 112.05 shows strong potential for further gains, but risk management strategies, such as setting a stop loss just below 230, will be crucial to protect against unexpected reversals.