TVS Motor Company Limited (TVSMOTOR) Stock - Complete Technical Analysis - Oct 04, 2024

TVS Motor Company Technical Analysis: Key Levels and 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, we will delve into the technical analysis of TVS Motor Company Limited, currently trading at 2,687.50. The stock is experiencing a strong upward trend, up approximately 80.44% from its 52-week low of 1,489.45, yet 9.14% below its recent high of 2,958. This indicates potential resistance near the recent peak, as we observe notable price drops in the past few trading sessions, particularly on October 1, where the stock opened at 2,857 but closed lower at 2,838.65.

Analyzing the indicators, the RSI at 40.05 suggests the stock is nearing an oversold condition, while the Stochastic at 20.6 indicates a potential for a rebound. However, the ADX at 26.38 shows a strong trend is in place, confirming the markets bullish sentiment. The MACD at 22.95 reinforces this upward momentum. Despite this, volatility is apparent with an ATR of 53.57, indicating fluctuating price action.

Support is notably around the recent low of 2,658, with further support at 2,717.93 from the pivot levels, while resistance is found at 2,959.88, highlighting the critical area where selling pressure may increase. Observing the price gaps from October 3 to October 4, there was a notable drop, which traders should watch closely. A reversal from these levels could provide an opportunity to enter long positions, especially if the price consolidates above the 2,700 mark.

Overall, traders should stay alert for further signs of strength above key resistance levels, as the current indicators suggest that TVS Motor has the potential for a bullish reversal if momentum continues to build.