Mahindra & Mahindra Limited (M&M) Stock - Complete Technical Analysis - Oct 22, 2024

Mahindra & Mahindra (M&M) Stock Analysis: Bearish Reversal Patterns, Key Levels to Watch

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.

Mahindra & Mahindra Limited (M&M) is currently priced at 2887.20, indicating a sharp decline from the highs earlier this month. A Bearish Engulfing and Evening Star pattern are identified on the daily chart, which suggests a bearish reversal in play. The stock is struggling to maintain its ground, slipping below key Exponential Moving Averages (10, 20, and 30), reflecting weakness. ADX at 24.95 signals a moderate trend strength, while RSI stands at 41, signaling that the stock has not yet entered a strong oversold zone.

MACD continues to remain positive, but other momentum indicators such as Stochastic %K (17) and Williams %R (-97.37) are in deep oversold territory, indicating that a price rebound could be on the horizon, though it remains uncertain. Momentum has also weakened substantially, contributing to bearish sentiment.

Key support is visible around the 2746 mark, and any break below that level could accelerate the downside movement. On the upside, resistance is expected around the 2984 level, but it may struggle to break through without a strong bullish catalyst. Volatility remains high, and caution is advised for short-term traders looking to capitalize on any price reversal.