Union Bank of India (UNIONBANK) Stock - Complete Technical Analysis - Oct 04, 2024

Union Bank of India: Technical Analysis & Insights for Traders - October 2024

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, Union Bank of India is trading at 118.86, reflecting a 31.10% decline from its 52-week high of 172.50, which occurred on June 3, 2024. The stock has shown considerable volatility recently, with today's session displaying a high of 120.86 and a low of 116.73, ultimately closing slightly lower than its opening price. The most recent trading pattern reveals a Doji and a Spinning Top formation, indicating market indecision, which could suggest a potential reversal in trend.

Analyzing key technical indicators, we see the Average Directional Index (ADX) at 18.82, which suggests a weak trend, while the RSI sits at 37.85, indicating that the stock is approaching oversold territory. The MACD level is currently negative at -0.78, and the Awesome Oscillator also reflects negative momentum at -1.28, further supporting the bearish sentiment. Moreover, the Stochastic RSI and Williams Percent Range show readings that suggest a lack of bullish momentum.

The current support levels are established around the recent lows near 116.73, while the resistance levels are marked at approximately 122.96, based on the classic pivot points. A sudden price drop was observed over the past few days, particularly from a high of 127.55 to the current levels, indicating a clear downtrend. The stock is also 30.26% above its 52-week low of 91.25, established on October 26, 2023.

In summary, traders should be cautious as the current market sentiment appears to lean bearish, with the presence of indecision candles suggesting potential volatility ahead. Watch for price action around the support level of 116.73 for signs of a reversal, and consider resistance at 122.96 as a potential target if upward momentum resumes.