Tata Motors Technical Analysis (NYSE:TTM)
Technical chart patterns are studied in depth by people who strongly believe in technical analysis. These type of investors who look at trading charts or technical stock charts are usually traders rather than value investors. When a chart pattern that can predict future Tata Motors stock price movements is formed, the TTM stock chart can become a key tool for a technical analyst.
View technical indicators like moving averages (SMA and EMA), and bollinger bands for Tata Motors. Technical analysis uses an approach for Tata Motors stock analysis that does not care for the fair "value" of a company but uses price and volume data only.
Tata Motors Moving Average:
TTM stock price movements can be forecasted by using triggers based on moving averages, which are also some of the simplest technical indicators. The way the averages are calculated in each of the 2 popular cases, that is SMA and EMA varies, however the interpretation of Tata Motors chart patterns after the calculations remain the same. The 100 day moving average of 17.65 is above the last closing price of 41.01. Moving averages can be used for TTM trend identification. A rising moving average shows that stock prices are generally increasing.
Tata Motors Bollinger Bands:
Bollinger bands comprise of a center line usually TTM SMA, and two TTM stock price bands above and below it. The stock is considered over brought when the price starts moving closer towards the upper band, and is considered oversold as stock price moves closer towards the lower band. The stock price is trading between the average and the lower band in the context of Tata Motors bollinger bands.
Tata Motors Moving Average Convergence Divergence or MACD:
The moving average convergence divergence or MACD is a technical indicator which helps assess the stock price trend. Traders usually wait for a confirmed crossover signal before entering into a trading position. Divergence implies that the current stock price trend could come to an end, when the stock price diverges from MACD. The Tata Motors MACD indicator can be used to identify bullish and bearish trends for the stock.
Tata Motors Relative Strength Index:
The RSI technical indicator is a momentum oscillator. It compares the speed and change in price movements. If the RSI of TTM stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position. .