Suratwwala Business Group Limited (SBGLP) Stock - Complete Technical Analysis - Dec 09, 2024

Suratwwala Business Group Ltd. Stock Analysis - Key Support, Resistance & Technical Indicators

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.

Detailed Technical Breakdown of Suratwwala Business Group Limited (SBGLP)

Support and Resistance Levels:

Support Levels: The immediate support is found at 106.33, followed by 95.34 and 75.76, which could offer protection against any bearish moves.

Resistance Levels: On the upside, significant resistance is found at 125.91, 134.5, and 154.08. These levels could act as barriers to any price surge in the near term.

Key Patterns in Price Action:

Bullish Harami: This pattern suggests that the recent downtrend might reverse, signaling potential for a bullish move. However, confirmation with a follow-up green candlestick would strengthen this signal.

Spinning Top: Today's spinning top indicates market indecision, as the open and close prices are close, suggesting that traders are unsure of the direction. A strong breakout on either side would provide clarity.

Trend Indicators:

RSI: The RSI is neutral at 61.0, indicating that the stock is not overbought or oversold. This suggests room for either an upward or downward movement depending on market conditions.

MACD: The MACD is currently above the zero line, suggesting bullish momentum. The stock could continue to rise as long as this indicator remains positive.

ADX: A low ADX value of 16.55 indicates a weak trend. The stock is in a consolidation phase, and a breakout or breakdown would signal the next trend.

Moving Averages:

Short-Term Trend: The stock is trading above its key short-term moving averages, such as the 10-day, 20-day, and 50-day, indicating an overall bullish outlook in the short term.

Long-Term Trend: The 200-day simple moving average suggests a long-term bullish trend, as the stock has recovered significantly from its 52-week low, confirming that the overall market sentiment is positive.

Volatility and Reversal Indicators:

ATR: The Average True Range indicates moderate volatility, suggesting that price swings are normal. Over the past few weeks, ATR has been relatively stable, showing price movements are not excessively volatile.

Recent Price Action: The stock has shown a consistent pattern of minor upswings and consolidations. On December 6th, 2024, the stock opened at 124.90 and closed at 123.04, showing a small pullback. The most recent candle on December 9th shows a small upward movement, with the stock closing at 124.38.

Pivots and Price Breakouts:

Classic Pivot: The stock is currently testing its first resistance level at 125.91. A break above this could lead to further upward momentum towards higher resistance levels.

Camarilla and Fibonacci Pivots: The stock is near its Camarilla R1 at 119.12 and Fibonacci R1 at 122.4, both of which could serve as potential breakout points.

Conclusion:

SBGLP is showing a positive short-term outlook, with bullish patterns and strong support at key levels. However, the spinning top pattern and low ADX suggest caution, as the market may be indecisive in the near term. Traders should look for a breakout above 125.91 for confirmation of bullish momentum.