The chart shows TATA Motors trading within a well-defined downtrend channel, indicating bearish momentum. Key price levels and Fibonacci retracements are highlighted to assist in planning potential trades:
Downtrend Channel:
The price has been consistently respecting the downward sloping channel boundaries, currently testing the upper boundary near 793.60.
A breakout above this level may indicate a trend reversal or further upward momentum.
Key Support and Resistance Levels:
Low Support: 759.20 – Critical support level near the channel's lower boundary.
Exit Target: 842.75 – Identified as a potential target, coinciding with the 0.236 Fibonacci retracement level.
High Resistance: 890.00 – Major resistance level for a long-term bullish breakout.
Technical Observations:
The price is currently hovering near the upper channel boundary. A successful breakout above 800 could lead to a test of 842.75.
On the downside, failure to hold above 770 may drive the price back to retest 759.20.
Potential Trade Setup:
Bullish Scenario: Break above the channel with strong volume can target 842.75 and higher.
Bearish Scenario: A rejection at the upper boundary can lead to a move back toward the lower boundary near 759.20.
This idea highlights key technical levels to watch for in the coming sessions. Monitor the price action closely around the channel and Fibonacci retracement levels for potential opportunities.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always conduct your own research before making trading decisions.
Downtrend Channel:
The price has been consistently respecting the downward sloping channel boundaries, currently testing the upper boundary near 793.60.
A breakout above this level may indicate a trend reversal or further upward momentum.
Key Support and Resistance Levels:
Low Support: 759.20 – Critical support level near the channel's lower boundary.
Exit Target: 842.75 – Identified as a potential target, coinciding with the 0.236 Fibonacci retracement level.
High Resistance: 890.00 – Major resistance level for a long-term bullish breakout.
Technical Observations:
The price is currently hovering near the upper channel boundary. A successful breakout above 800 could lead to a test of 842.75.
On the downside, failure to hold above 770 may drive the price back to retest 759.20.
Potential Trade Setup:
Bullish Scenario: Break above the channel with strong volume can target 842.75 and higher.
Bearish Scenario: A rejection at the upper boundary can lead to a move back toward the lower boundary near 759.20.
This idea highlights key technical levels to watch for in the coming sessions. Monitor the price action closely around the channel and Fibonacci retracement levels for potential opportunities.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always conduct your own research before making trading decisions.
Trade active
TATA Motors has recently found support at the upper boundary of the downtrend channel, signaling a potential shift in momentum. This could indicate the start of a reversal or consolidation phase before the next move.Note
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.