National Alumimum : Showing Bullish Momentum.

Price Action:
1. Trend Channel:The price is moving within an ascending channel, with multiple touches on both the upper and lower trendlines, indicating the price respects these levels.
2. Bullish Divergence:** A bullish divergence is visible as the price forms lower lows while the RSI forms higher lows. This suggests a potential reversal or upward momentum.
3. Current Price:The price is currently at ₹181.98, bouncing off a lower support level with a strong move upward of 5.09% on the day.

Volume Analysis:
Volume Spikes:** Noticeable spikes in volume indicate significant buying interest, particularly near the support level of the channel, which reinforces the potential for a reversal.

RSI Analysis:
Bullish Divergence: As highlighted, the RSI is showing a bullish divergence, where the RSI formed higher lows while the price formed lower lows, indicating waning selling pressure and a likely reversal.
Current RSI Level The RSI has crossed above 50, indicating strengthening bullish momentum.

Outlook:
Bullish: Given the bullish divergence, upward price movement, and strengthening RSI, the stock may continue moving upward, potentially targeting the upper boundary of the ascending channel.
Key Levels: The next resistance could be near the recent high around ₹200, while support remains at the lower boundary of the channel.

Conclusion:
This chart suggests a bullish outlook in the short to medium term, supported by a breakout from the bullish divergence, rising RSI, and positive price action within the ascending channel.
Parallel ChannelSupport and ResistanceTrend Lines

Also on:

Disclaimer