Amara Raja Energy & Mobility Limited (ARE&M) Stock - Complete Technical Analysis - Dec 16, 2024

Amara Raja Energy & Mobility Limited Stock Analysis Key Levels & Technical Insights for December

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. Amara Raja Energy & Mobility Limited (ARE&M) is currently trading at 1,294, sitting 27.15% below its 52-week high and 77.58% above its 52-week low, indicating a significant recovery in recent months. The stocks short-term movements have been relatively stable, with minor fluctuations. On December 13, 2024, the stock saw some intraday volatility, opening at 1,286, dipping to 1,272.55, and reaching a high of 1,298 before closing at 1,293.70, reflecting a slight downward shift.

Looking at technical indicators, the Relative Strength Index (RSI) is at 48.12, signaling a neutral stance in the market, with neither overbought nor oversold conditions. The Average Directional Index (ADX) at 17.97 shows weak trend strength, suggesting indecisiveness in the market. The MACD shows a positive momentum, although this may not yet indicate a strong trend reversal. Support is currently seen around the 1,270-1,280 zone, with the next significant support at 1,260. Resistance lies at the 1,300-1,310 range, with the 1,320-1,330 region acting as the next major hurdle.

The stock is trading above its key moving averages, such as the 50-day and 100-day EMAs at 1,321.31 and 1,335.68, respectively, which provide key resistance levels. The price is staying within a range, suggesting consolidation, with moderate volatility indicated by the Average True Range (ATR) at 93.67. The Stochastic RSI and Momentum indicators are also neutral, showing no significant momentum in either direction.

For traders, the key levels to watch are the 1,310 resistance and the 1,270 support. A breakout above 1,310 could signal an uptrend, while a drop below 1,270 could lead to further downside. Monitoring these levels carefully is crucial for short-term trades, as the stock is showing neutral to weak directional strength in its current phase.