Tata Steel Ltd has formed Bearish Engulfing in the Candlestick chart. For last three days, the stock was forming Green Candle body in the chart, but in today's single day's trade Tata steel engulfed last three day's positive close. The stock also had significant volume, which makes the Bearish Engulfing more meaningful.
For last eight months, Tata steel is trading in a down trend, which makes lower lows & lower highs. The sideways range bound market breaks the 10, 20, 50 and 100 days moving averages. The other important thing is, the stock is already trading below 200 days moving average.
Today it has added 2307000 or 10.18% shares in Open Interest. In the spot market the price went down by -13.40 points or -3.32%. The drop in underlying price and rise in Open Interest indicates the possible Short Build Up.
The current month (November) Future have added 557500 shares in Open Interest. Currently it has 15187500 shares in Open Interest. The near month (December) Future have added 143000 shares in Open Interest. Currently it has 458500 shares in Open Interest.
In today's intraday trade Tata Steel went onto make 408.75 as day's high and 385.50 as day's low. The stock went down by -13.40 points or -3.32% and closed at 390.55.