Title: Tata Steel hits over 1-month high; chart suggests more upside
Shares of Tata SteelNSE 0.13 % gained as much as 3.08 per cent to Rs 495.5, their highest since January 9.
The stock broke above resistance at Rs 490, the 23.6 per cent Fibonacci retracement level on the downtrend from September 21, 2018, high to January 29, 2019.
The stock has also broken above its 50-day exponential moving average which is seen as a bullish sign.
This breakout suggests the stock may now move up to the next resistance at Rs 520.15, the 38.2 per cent retracement level.
The 5-day average volume of the stock is 42.7 per cent higher than its 30-day average, which suggests, the breakout is supported by volume.
Momentum indicator moving average convergence divergence, or MACD, is above its signal line which is a favourable sign for the stock.
The stock was down 29.86 per cent in the last one year, as of Monday's close, while the broader NSE Index gained 4.15 per cent in the same period.
The shares of the company closed 1.57 per cent up at Rs 487.95 on BSE.