Nestle India Limited (NESTLEIND) Stock - Complete Technical Analysis - Oct 04, 2024

Unlocking Nestle India: Technical Analysis, Key Levels, and Price Trends

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, well conduct a comprehensive technical analysis of Nestle India Limited, currently trading at approximately 2,598. The stocks price is 6.47% below its 52-week high of 2,778 reached on September 27, 2024, and 15.21% above its 52-week low of 2,255.10 recorded on October 4, 2023.

Price Trends

In the last five trading days, Nestle has shown a slight downtrend. Opening at 2,750 on September 27, it experienced fluctuations with a high of 2,778 before closing at 2,745.70. The stock then opened lower on September 30 at 2,720, with a subsequent downtrend to 2,689.95. The recent trading day on October 4 saw the stock open at 2,663, reaching a high of 2,678.35, but ultimately closing lower at 2,598.15, indicating a potential bearish sentiment.

Support and Resistance Levels

Immediate Resistance: 2,651.98 (Classic Pivot Point)

Key Resistance Levels: 2,678.35 (Recent High), 2,777 (52-week High)

Immediate Support: 2,590.30 (Recent Low)

Key Support Levels: 2,545.0 (Woodie Pivot S1), 2,525.97 (Classic Pivot S1)

Technical Indicators

MACD is bullish, indicating potential upward momentum.

RSI at 47.18 suggests the stock is neither overbought nor oversold, signaling room for movement in either direction.

ADX at 25.74 indicates a strengthening trend, although it is not yet strong enough to indicate a definite trend.

Stochastic at 57.91 indicates that the stock is in a neutral zone, suggesting that it might experience volatility shortly.

Price Gaps and Volatility

Nestles recent price action indicates a moderate volatility range. The Average True Range (ATR) reflects a substantial volatility level, suggesting traders should be cautious of rapid price changes. The last five days exhibited notable price movements, with significant surges and declines, especially in the face of market fluctuations.

Observations

The stock has encountered several short-term sell-offs, particularly in the last few days, prompting concerns regarding bearish pressure.

Should the price drop below the immediate support level of 2,590.30, further declines could be expected.

Conversely, if it manages to break above the immediate resistance of 2,651.98, it could see a potential rally back toward the 2,700 level.

In summary, Nestle India Limited is in a pivotal stage where traders should closely monitor price movements around the key support and resistance levels, especially given the recent volatility.

Stay tuned for further updates as we continue to analyze market conditions and Nestles performance.