Relaxo Footwears Limited (RELAXO) Stock - Complete Technical Analysis - Sep 05, 2024

"Relaxo Footwears Stock Analysis: Key Support

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. Let's dive into the technical analysis of Relaxo Footwears Limited, ticker symbol RELAXO. Currently trading at 822.85, the stock is 14.20% below its 52-week high of 959, which occurred on November 1, 2023, and 8.52% above its 52-week low of 758.25 from June 4, 2024. The average true range over the past 14 days shows considerable volatility, reflecting fluctuating market conditions.

Support and resistance levels are key for RELAXO. The stock is encountering resistance around the 843 to 847 zone, with pivotal levels seen at the 50-day exponential moving average at 820.15 and the 100-day at 827.63. The support levels are likely around the 806 to 810 range, with the 20-day volume weighted moving average at 804.91 acting as a strong support.

The Average Directional Index (ADX) is below 20, indicating a weak trend, while the Relative Strength Index (RSI) is around 54, suggesting a neutral momentum. The Stochastic RSI is in overbought territory, which could signal potential downward pressure, but the MACD is below zero, indicating a bearish trend.

Chart patterns reveal a Doji and a Spinning Top candlestick, both suggesting market indecision. This pattern, combined with a high Stochastic %K and Stochastic RSI, points to potential price fluctuations in the near term. The Awesome Oscillator is negative, reinforcing the bearish outlook.

Overall, while RELAXO shows some bullish potential based on past support levels and volatility, the current technical indicators suggest caution with a focus on the resistance and support zones for strategic trading decisions.