Welspun Living Limited (WELSPUNLIV) Stock - Complete Technical Analysis - Sep 19, 2024

"Welspun Living Ltd Stock Analysis: Key Support & Resistance Levels Technical Insights September

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 Welspun Living Limited (WELSPUNLIV). Currently, the stock is trading around 177.29, which is 16.75% below its 52-week high of 212.95 and 53.30% above its 52-week low of 115.65.

Support and Resistance Levels: The key support levels are around 172.38 and 151.76, while resistance is seen near 213.28 and 233.56.

Technical Indicators:

Moving Averages: The stock's current price is below most of its major moving averages, suggesting a bearish trend. The 10-day and 20-day EMAs are at 181.3 and 183.51, respectively, while the 50-day EMA stands at 179.18. The 200-day EMA is significantly lower at 157.13, indicating a long-term bullish trend that is currently under pressure.

MACD: The MACD line is below the signal line, indicating bearish momentum. This, coupled with a negative MACD level, suggests that the stock might continue to face selling pressure.

RSI and Stochastic Indicators: The RSI is at 42.52, which is in the neutral zone but leaning towards oversold territory. The Stochastic %K is at 15.9, and the Stochastic RSI Fast is at 3.59, both suggesting that the stock is currently oversold and could experience a short-term rebound.

ADX: The ADX is at 17.01, which indicates a weak trend. This could imply that the stock is consolidating and might not have a strong directional move in either direction.

Volume and Volatility: The Average True Range (ATR) is on a decreasing trend, showing reduced volatility. This suggests that the stock may experience lower price swings in the near term.

Chart Patterns and Oscillators: The Awesome Oscillator is negative, reflecting bearish sentiment. The Commodity Channel Index (CCI) is also negative, confirming the stock's current oversold condition.

In summary, Welspun Living Limited is currently facing bearish pressure with potential for a short-term rebound due to its oversold indicators. Traders should watch key support levels around 172.38 and 151.76 for potential buying opportunities, while resistance around 213.28 and 233.56 will be crucial to watch for signs of a reversal.