titan share price: Chart Check: Momentum in gold and falling trendline breakout makes Titan attractive; time to buy?

Titan Company stock price recorded a bullish candle on the weekly charts and a breakout from a falling trendline on the daily charts which suggests that bulls are here to stay.

Considering the traction that we are seeing in gold, short-term traders can look to buy the stock for a possible target towards Rs 2,600 in the next 3-4 weeks, suggest experts.

In terms of price action, the stock price slipped below the 5-DMA and 100-DMA but it is still trading above 20,30,50 and 200-DMA on the daily charts.

The Relative Strength Index (RSI) is placed at 58.9. RSI below 30 is considered oversold and above 70 is considered overbought, Trendlyne data showed. MACD is above its center and signal line, this is a bullish indicator.

“Titan Company stock has formed a strong bullish candle on weekly scale and given a falling supply trend line breakout on daily chart which is formed by connecting swing highs of Rs 2,626, 2,545 and 2,475 levels,” Arpit Beriwal, Analyst, Equity Derivatives & Technicals, MOFSL, said.“It has negated lower top-lower bottom formation after four weeks and supports are gradually shifting higher. Ongoing bullish momentum in yellow metal (gold) will support the up move in the counter,” he said.

RSI is also picking up and stock is holding well above its shorter- and long-term moving averages. Thus, looking at the overall chart structure we expect the stock to move higher.

“We recommend traders to buy the stock at current levels while keeping a stop loss below Rs 2,450 levels on a closing basis for an upside move towards Rs 2,650 zones,” recommends Beriwal.

(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)