Tamilnadu PetroProducts Limited (TNPETRO) Stock - Complete Technical Analysis - Oct 04, 2024

Tamilnadu PetroProducts Technical Analysis: Key Levels & Insights for Traders

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. Today's analysis of Tamilnadu PetroProducts Limited reveals critical insights for traders. The current price is at 88.93, reflecting a significant drop from recent highs. The stock is trading 21.99% below its 52-week high of 114.0, reached on February 7, 2024, and 17.63% above its 52-week low of 75.6, recorded on June 4, 2024.

The last few trading sessions have demonstrated a bearish trend, highlighted by the formation of the "Three Black Crows" chart pattern. This pattern typically indicates a strong continuation of the downward trend. Over the last five trading days, we saw a gradual decline in price from a high of 93.98 to today's close at 88.93, suggesting consistent selling pressure. Notably, today's open was at 90.31, and after hitting a high of 91.18, the stock closed significantly lower, indicating a sudden price drop.

From a technical indicators perspective, the RSI is currently low, reflecting oversold conditions, while the Stochastic Oscillator also indicates potential weakness. MACD is in the negative territory, reinforcing bearish momentum. The Average Directional Index (ADX) is above 20, suggesting a strong trend, but the overall sentiment remains bearish as indicated by the other indicators.

Support levels are observed around 88.93, with further support at 85.4. Resistance levels are identified near the recent highs around 92.78. A close below the support level may lead to further declines, while a rally above resistance could signal a potential reversal.

Overall, caution is advised for traders in the current market conditions. Monitoring key support and resistance levels will be crucial for making informed trading decisions in the near term.