Tata Motors Share Price Target - 1st June

Today's Opening - 285
Today's High - 287
Today's Low - 283
Today's Closing - 290

Positive closing today, with higher volumes over the last three days, previous two days had a negative closing though.

The 12, 26-day Moving Average Convergence Divergence has remained negative since 24th Jan and it's only getting worse. The 2-day Relative Strength Index has remained below 50% since 16th April.

Though the stock has been negative on the 20-day Commodity Channel Index since 16th April, the stock has managed to pull back above -100 since 17th May.

The 14-day Negative Directional Index has been stronger than the Positive Directional Index since 15th May and the gap is only increasing. The stock continues to remain below the 5-day Exponential Moving Average.

In my post of 27th April, I had mentioned that Tata Motors had a support at 324 and that in case 324 gets broken, the stock can come down sharply to upto 279. The stock has decisively broken the 324 support on 14th May and now 279 is very much in sight. 265 is the next level to watch out for. The stock has lost almost 15% over the last one month alone and the uncertainty in UK & Europe is an external factor impacting Tata Motors right now. Keep accumulating the stock on every dip with a long-term view.

If you find this analysis useful, you might want to read through my latest posts on Bharti Airtel, Suzlon Energy and ICICI Bank.