In the previous session, the Nifty index opened on a positive note and witnessed consolidation on the higher side throughout the day. On the technical note, the index formed a bullish candle on the chart and closed with a net gain of 92 points. Market looks volatile in the coming sessions, hence a cautious approach is advisable for the next trading day.

Look at the below research report of ‘Stocks to Buy for Tuesday, January 03,2023′ before the market opens.

Tata Steel Ltd.

On the daily chart, we can see that Stock prices have formed a ‘Rounding Bottom pattern’. In the previous session, stock retested the higher level , also broke the swing highs level and closed above the neckline of the pattern with a bullish candle. The Rounding bottom, also called a Saucer pattern, appears as a ‘U’ formation on the chart. It signals the end of a downtrend and the possible start of an uptrend. The Relative Strength Index (RSI) on the daily chart is 66; which indicates bullishness.

In short, TATASTEEL has continued to trade in the positive zone. One can initiate buy at current levels and add more on dips around break out levels near 116 which can take price towards 125 levels. This outlook is valid as long as we do not see any closing below 20 EMA support.

Check More Analysis at TATASTEEL : Tata Steel Ltd.