Wipro Limited (WIPRO) AnalysisThe chart provided is of Wipro Limited (WIPRO) listed on the National Stock Exchange (NSE) of India, on a weekly timeframe. Here’s a detailed analysis and summary:
1. Trend Analysis:
- The stock experienced a strong uptrend from mid-2020 to late 2021, reaching a peak around 740.
- Since then, it has been in a downtrend with intermittent periods of consolidation and minor recoveries.
2. Support and Resistance Levels:
- Resistance:
- 543.55 (61.8% Fibonacci retracement level).
- 606.70 (previous high and key resistance).
- 711.90 (1.618 Fibonacci extension level).
- Support:
- 439.85 (Recent low and significant support).
3. Fibonacci Retracement Levels:
- The chart shows Fibonacci retracement levels from the recent high around 740 to the recent low at 439.85.
- 50% level at 523.75.
- 61.8% level at 543.55.
4. Chart Patterns:
- There appears to be a descending triangle pattern forming, with lower highs and a horizontal support level around 440.
- A breakout from this pattern, either upward or downward, will likely indicate the next major move for the stock.
5. Current Price Action:
- The current price is 484.55.
- The price has recently bounced off from near the 440 support level.
- The price is approaching the descending trendline, which could act as resistance in the near term.
6. Moving Averages and Indicators:
- The chart does not explicitly show moving averages or other indicators, but the trend lines, Fibonacci levels, and chart patterns provide key insights.
Summary:
The chart of Wipro Limited (WIPRO) shows that the stock has been in a downtrend since late 2021 after a significant rally. The stock found support around 440 and has recently bounced from this level. Key resistance levels to watch are around 523.75 (50% Fibonacci retracement) and 543.55 (61.8% Fibonacci retracement). The stock is currently testing the descending trendline resistance, and a breakout above this level could indicate a potential reversal. However, if it fails to break this resistance, the stock may continue to trade within the descending triangle pattern, with 440 being a critical support level.
