SJVN Limited (SJVN) Stock - Complete Technical Analysis - Oct 07, 2024

SJVN Limited: Analyzing Key Support and Resistance Levels for Smart Trading Decisions

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.

SJVN Limited's current price of 118 is experiencing a notable bearish trend, trading 30.79% below its 52-week high of 170.5, reached earlier this year. The stock has shown a significant recovery, trading 86.12% above its 52-week low of 63.4 from October 2023. A recent bearish engulfing pattern has formed, indicating potential further declines.

In the last five trading sessions, we observed some volatility, highlighted by a sudden drop from a high of 127.5 to 118 today. This drop may signal an ongoing selling pressure, with key support identified around 117.36, coinciding with today's low and below the Classic Pivot S1. Conversely, resistance is noted near the previous high of 127.5, which is also supported by the short-term Exponential Moving Averages (EMAs) trending around 127-130.

The Average Directional Index (ADX) is at 18.26, indicating a weak trend strength, while the Relative Strength Index (RSI) at 30.88 suggests that the stock is currently oversold, hinting at a possible reversal. However, the MACD shows a negative divergence, reinforcing the bearish sentiment. The Awesome Oscillator remains in negative territory, supporting the notion of bearish momentum.

In conclusion, traders should watch for a potential bounce off the support at 117.36, but caution is advised due to the overall bearish sentiment. Monitoring for a move above the resistance at 127.5 could provide a signal for a potential reversal, while further weakness could lead the stock toward lower levels.