Tata Consultancy Services Limited (TCS) Stock - Complete Technical Analysis - Nov 05, 2024

TCS Stock Technical Analysis: Key Support and Resistance Levels Revealed

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. TCS stock is showing signs of a bearish trend, currently priced at 3971.35. After hitting resistance around 4080, it has declined sharply, with today's trading reflecting a low of 3941.1. The Relative Strength Index is nearing oversold levels at 31, indicating that the stock might be poised for a rebound if buyers step in. The MACD remains in negative territory, confirming the bearish momentum, while the Average Directional Index suggests a strong trend is currently in play.

Key support levels to monitor are around 3940 and a stronger base at approximately 3850. Resistance levels will challenge the stock at 4000 and again around 4080. The presence of bullish engulfing and morning star patterns suggests potential bullish reversals may be in sight, yet traders should be cautious due to increased volatility. A sustained hold above 3940 would be encouraging, while a break below could invite further declines. Keeping an eye on volume trends will be crucial in assessing the strength of any potential reversal, as TCS navigates through these critical levels.