CG Power and Industrial Solutions Limited (CGPOWER) Stock - Complete Technical Analysis - Sep 17, 2024

CG Power Stock Analysis: Key Levels & Indicators You Must Know CGPOWER Technical Insights

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.

Let's dive into the technical analysis of CG Power and Industrial Solutions Limited (CGPOWER) stock. Currently trading at 731.10, CGPOWER is approximately 6.72% below its 52-week high of 783.75 and 103.54% above its 52-week low of 359.20.

Trend Analysis:

Moving Averages: The stock is above its shorter-term Simple Moving Averages (SMA), with the 10-day SMA at 695.67 and the 20-day SMA at 706.55, indicating a bullish trend. However, it's trading below the 50-day SMA of 711.97, which suggests that while the stock is in an uptrend, there may be some short-term consolidation.

Exponential Moving Averages (EMA): The stock is also above its 10-day EMA of 706.1 and its 20-day EMA of 704.53, reflecting a positive short-term trend. It's trading above the 200-day EMA of 595.48, which is a strong long-term bullish signal.

Support and Resistance Levels:

Support: Key support levels are around the 652.8 (Classic S1) and 609.5 (Classic S2). These levels could act as a safety net if the stock experiences a pullback.

Resistance: Resistance levels are near the 752.15 (Classic R1) and 808.2 (Classic R2). A breakout above these levels could signal further upward momentum.

Technical Indicators:

MACD: The MACD is currently in positive territory, indicating a bullish momentum. The recent crossovers and position suggest a continuation of the uptrend.

RSI: The Relative Strength Index (RSI) at 58.14 is neutral, suggesting that the stock is neither overbought nor oversold, but leaning towards a positive sentiment.

ADX: With an ADX of 17.81, the trend strength is relatively weak, implying that the stock may be in a consolidation phase or entering one.

Stochastic Indicators: Both the Stochastic %K and Stochastic RSI are in overbought conditions, which might suggest caution for short-term traders, as a possible correction could occur.

Chart Patterns:

Inside Candle Pattern: An inside candle pattern formed on September 12, 2024, within a range of 739.0 (high) and 692.6 (low). This pattern often indicates a potential reversal or consolidation.

Volatility:

Average True Range (ATR): The ATR is around 23.37, indicating a moderate level of volatility. Traders should be prepared for some price swings within this range.

Overall, CGPOWER appears to be in a strong uptrend with key support levels that could hold if the stock faces downward pressure. Resistance levels should be watched closely as potential breakout points. Keep an eye on the technical indicators for signs of potential changes in momentum or trend strength.