Zomato Limited (ZOMATO) Stock - Complete Technical Analysis - Sep 03, 2024

Zomato Stock Technical Analysis Key Levels

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 a detailed technical analysis of Zomato Limited (ZOMATO). Currently, the stock is trading at 248. The average directional index (ADX) is quite high, suggesting a strong trend, though its direction isn't specified. The relative strength index (RSI) indicates the stock is in a neutral zone, suggesting no strong momentum in either direction. The MACD is positive, pointing to potential bullish momentum, but other indicators like the stochastic RSI and Williams Percent Range show the stock may be in an oversold condition, indicating a possible buying opportunity.

Looking at moving averages, the stock is currently trading below its short-term exponential and simple moving averages, but above the longer-term moving averages. This suggests a mixed trend, with resistance likely around 252.55, where the 10-day EMA is located, and potential support near 236.35, where the 50-day EMA is found. The classic pivot point of 253.14 serves as a key level to watch for possible price reversals.

The recent candlestick patterns include a bullish harami and a spinning top, indicating some indecision in the market. The bullish harami suggests a potential reversal to the upside, while the spinning top highlights uncertainty among traders. Additionally, the average true range (ATR) suggests increasing volatility, which traders should keep in mind as the stock may experience wider price swings.

In summary, Zomato's technical indicators present a mixed outlook with potential resistance around the 10-day EMA and support near the 50-day EMA. Traders should watch key pivot points and consider market volatility as they plan their trades.