Shanthi Gears Limited (SHANTIGEAR) Stock - Complete Technical Analysis - Oct 11, 2024

"Shanthi Gears Stock Analysis: Key Support & Resistance Levels You Can't Miss"

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.

Shanthi Gears Limited is currently trading at 614.40, reflecting a notable performance as it sits 12.60% below its 52-week high of 703.00 and 53.12% above its 52-week low of 401.25. This demonstrates a healthy upward trend since its low in October 2023.

Price Trends: Over the last five days, the stock has shown some volatility, with recent sessions fluctuating between a low of 597.00 and a high of 617.95. The price opened at 603.00 today, indicating positive momentum as it approached resistance levels.

Support and Resistance Levels: The immediate support level appears to be at 584.27, while resistance can be identified around 672.97 based on classic pivot points. The stock is currently testing resistance near 626.13, which aligns with the classic pivot point, suggesting that a break above this level could trigger a more bullish trend.

Technical Indicators: The MACD is negative, suggesting some bearish sentiment in the short term, while the RSI is hovering around 51.25, indicating neutral momentum. The ADX level of 17.24 reflects a weak trend, implying that price movements could be choppy in the near term. However, the Stochastic RSI suggests a potential reversal as it indicates the stock is neither overbought nor oversold.

Volatility and Reversals: The average true range (ATR) indicates that volatility has increased, with readings suggesting potential for both upward and downward price swings. Sudden price drops were observed recently, particularly from 617.95 to 603.00, hinting at profit-taking or market corrections.

In summary, while Shanthi Gears has shown strong performance and recovery from its lows, traders should watch for breakouts above 626.13 to confirm bullish momentum, while being cautious of support at 584.27.