Finolex Cables Limited (FINCABLES) Stock - Complete Technical Analysis - Nov 21, 2024

Finolex Cables Stock Analysis: Support, Resistance & Trading Strategy for 2024

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. Finolex Cables (FINCABLES) is currently trading at 1,097, showing a notable dip from its 52-week high of 1,700. The stock has been under pressure recently, with consistent price drops and a low RSI, suggesting it is oversold. This could present a potential buying opportunity, but caution is required.

Technically, the MACD is negative, indicating a bearish momentum, but the MACD histogram shows a reduction in selling pressure, suggesting that the downtrend may be losing steam. Support is currently seen around 1,085-1,090, and a break below this could lead to further declines. A move above the 1,120 level could signal a reversal, with resistance zones near 1,150-1,170 offering potential profit-taking opportunities.

In terms of volatility, the ATR indicates large daily price swings, making it essential for traders to be prepared for sudden price movements. A bounce from the current support or a breakout above the resistance could offer profitable opportunities, especially if accompanied by a shift in momentum as indicated by the RSI and MACD.

To sum up, key levels to watch are 1,085 for support and 1,150 for resistance. A break below 1,085 could open up further downside, while a recovery above 1,120 could indicate the start of a bullish trend. Traders should keep an eye on momentum indicators for confirmation of any trend reversals.