Tata Elxsi Limited (TATAELXSI) Stock - Complete Technical Analysis - Oct 23, 2024

Tata Elxsi Limited Technical Analysis: Key Support, Resistance & Trends Explained

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. Welcome to our detailed technical analysis of Tata Elxsi Limited, trading currently at 7,217. This analysis will cover support and resistance levels, price trends, volatility, and key indicators to aid your trading decisions.

Current Price Overview

Tata Elxsi has recently encountered resistance around the 7,380 level, while support is established at approximately 7,130. This price action indicates that traders should be alert to potential movements in these areas.

Support and Resistance Levels

Support:

Immediate: 7,130

Further: 7,000 and 6,800

Resistance:

Immediate: 7,380

Further: 7,500 and 8,000

Recent Price Trends

Over the last week, Tata Elxsi has shown a tendency for sudden price changes. On October 22, the stock opened higher at 7,410 but saw a drop to close at 7,126, suggesting selling pressure.

Volatility and Gaps

The ATR indicates heightened volatility, and traders should watch for gaps, particularly around major support and resistance levels, which could signify stronger price movements.

Key Chart Patterns and Indicators

Bullish Harami: This pattern suggests a potential reversal and may indicate that buyers are beginning to take control.

MACD: Currently negative, indicating bearish momentum.

RSI: At 39, approaching oversold conditions.

ADX: Suggests a weak trend, underscoring uncertainty in direction.

Conclusion

Tata Elxsi is at a critical juncture with key support and resistance levels in play. The bullish pattern signals potential upward movement if confirmed, while caution is advised due to the prevailing bearish indicators. Traders should monitor these levels closely for the best opportunities.