SHREE CEMENT LIMITED (SHREECEM) Stock - Complete Technical Analysis - Oct 22, 2024

Unlocking Potential: Technical Analysis of Shree Cement (SHREECEM) Stock

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. Technical Analysis for Shree Cement Limited (SHREECEM)

Current Price: 24,434.40

Support and Resistance Levels:

Immediate Support: 24,220

Support 1 (S1): 24,149.73

Support 2 (S2): 23,990.57

Resistance 1 (R1): 25,849.87

Resistance 2 (R2): 27,709.17

Price Trends and Patterns:

The stock has demonstrated a bearish trend recently, trading below key moving averages. However, the appearance of a bullish engulfing pattern suggests that momentum may be shifting. Notably, the price surged from 24,220 to a peak of 24,848, indicating a recovery.

Gaps and Volatility Observations:

Recent trading indicates moderate volatility as reflected in the ATR. The combination of lower volatility and the bullish engulfing pattern points towards a potential reversal.

Recent Price Movements:

The stock has seen a sudden surge of over 2% from the previous close, showcasing buying strength following a test of support.

Technical Indicators Insight:

MACD: Indicates bearish momentum but may soon suggest a buy signal.

RSI: Approaching oversold territory, potentially signaling a bounce back.

Stochastic RSI: Confirms oversold conditions, supporting short-term bullish movements.

ADX: Suggests a weak trend, highlighting the possibility of a reversal.

Final Thoughts:

With current trading at a pivotal point, the ability to breach immediate resistance levels will be key for a bullish outlook. Traders should closely observe volume on upward movements and utilize support levels as a risk management tool. Monitoring the technical indicators will provide further clarity on the stock's direction.