SAIL - Technical Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Technical Rating: 2.4

Here’s a detailed technical analysis of Steel Authority of India Ltd. (SAIL)

📊 Trend Overview

Current Trend: Bearish with signs of oversold conditions

Price is below 50-DMA (₹130) and hovering just above 200-DMA (₹123) — short-term weakness, long-term support.

RSI (36.8) — in bearish zone, approaching oversold territory

1

.

MACD (-0.24) — negative, confirming downward momentum.

Volume: Below 1-week average — suggests declining interest and weak conviction.

📈 Chart Patterns & Indicators

Moving Averages

Price < 50-DMA → bearish short-term bias.

Price ≈ 200-DMA → possible support zone.

Bollinger Bands

Price near lower band — oversold zone, potential bounce setup.

Support Levels

₹123 – ₹126 (200-DMA and current price zone)

₹115 – ₹118 (trendline support)

₹99.2 (52-week low)

Resistance Levels

₹130 (50-DMA)

₹138 – ₹145 (recent swing highs)

₹156 (52-week high)

🔍 Momentum Signals

Short-Term Bias: Bearish with potential for technical rebound

RSI < 40 and MACD negative — weak momentum.

No bullish divergence yet, but nearing oversold zone.

Volume Trend: Declining — suggests lack of strong buying interest.

🎯 Entry & Exit Zones

Action Price Zone (₹) Rationale

Buy Entry ₹123 – ₹126 Near 200-DMA, oversold indicators

Exit Target ₹138 – ₹145 Resistance at swing highs

Stop Loss ₹118 Below trendline and support zone

🧠 Summary

SAIL is currently trending downward, but technical indicators suggest it’s approaching a potential reversal zone. A tactical entry near ₹123–₹126 could offer a short-term bounce opportunity, though confirmation via volume and RSI recovery is essential. Traders should remain cautious and avoid aggressive positions until momentum improves.

Want to explore how SAIL compares with other metal stocks or dive into sector rotation strategies? I’ve got plenty of insights to help you sharpen your edge.

1

trendlyne.com

Edit in a page