SKF India Limited (SKFINDIA) Stock - Complete Technical Analysis - Dec 16, 2024

SKF India Stock Analysis Technical Breakdown and Key Levels to Watch Dec 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. SKF India Limited (SKFINDIA) has shown a notable decline from its 52-week high of 7,350, currently trading at 4,860. The formation of a bearish candlestick pattern known as the Three Black Crows suggests the possibility of further downside. The stock has closed lower than its previous sessions, indicating weak momentum. Looking at key technical indicators, the RSI is near 41, showing that the stock is nearing oversold conditions, which could imply a reversal in the near future. However, the MACD is also negative, confirming that the stock is in a weaker short-term trend.

The Average Directional Index (ADX) is relatively low, indicating a lack of strong trend direction, which suggests the market sentiment is indecisive. In terms of support and resistance, we can identify immediate support around the recent low of 4,801, with the next major support at the 52-week low of 4,024.5. Resistance is observed at the 5,000 level, where selling pressure has been historically high. Should the stock break through this resistance, there could be potential for a trend reversal. Conversely, a failure to hold support could indicate more significant declines in the future.

Overall, SKF India stock is currently trending downward, with weak technical indicators. It is advisable for traders to remain cautious and monitor support levels closely for signs of potential reversal or further weakness.