Tata Group stocks: Tata Motors, Tata Elxsi can rally up to 14%, show charts

Among other Tata Group stocks, Tata Steel, Tata Power and Titan look weak on the charts, and are likely to see more downside.

Shares of conglomerate Tata group were among the most actively traded stocks on the bourses on Tuesday as the broader markets staged a relief rally. In terms of traded value, Tata Motors, Tata Steel, Tata Elxsi, Tata Power and Titan stood among top 10 so far in the day.

Titan Company was the top gainer, up almost 6 per cent. Shares of Tata Motors  rallied around 5 per cent, while Tata Elxsi was up 2 per cent.

In the recent market downturn, steel major - Tata Steel was one of the biggest group loser - down a whopping 33 per cent from its April peak, in the last three months. 

Among others severely battered shares, were that of Tata Power and Titan Company - down 32 per cent and 30 per cent, each from their respective March 2022 highs.

Given today's pull-back followed in the recent sharp fall, should you consider buying the Tata group stocks or should you wait? Here's what the charts suggest:
 

Tata Steel Ltd (TATASTEEL) 

Outlook: More downside likely

The overall outlook for Tata Steel seems bearish as long as the stock trades below its breakdown mark at Rs 1,020, suggests the daily chart. The next support for the stock comes at Rs 720, which was the breakout mark in March 2021. On the upside, the immediate hurdle for the stock exists at Rs 950 level. The heavy sell-off during recent times may offer some respite. However, the reversal appears to depict more selling pressure ahead. CLICK HERE FOR THE CHART

Tata Power Co. Ltd (TATAPOWER) 

Outlook: Stock broke critical support

Shares of Tata Power violated the most critical support at Rs 200-mark, shows the weekly chart. The 50-day weekly moving average (WMA) positioned at Rs 206, coincides with the support. Henceforth, any weakness under Rs 200 could see aggravated selling pressure. To regain stability, the stock needs to recover and sustain above the Rs 200-mark. The next significant support for the stock is seen at Rs 150 level. CLICK HERE FOR THE CHART

Titan Company Ltd (TITAN) 

Outlook: Death cross suggests bearishness

There is a formation of “Death Cross” illustrates the daily chart. This formation indicates bearishness and more downside. Thus, if the stock fails to exhibit a robust bounce, the weakness and negative bias could envelop the positivity in the short-to-medium term. The stock needs to conquer Rs 2,300 mark to negate the bearish bias. The next support for the stock comes at Rs 1,800 level. CLICK HERE FOR THE CHART

Tata Motors Ltd (TATAMOTORS) 

Likely target: Rs 450

Upside potential:  14%

As long as Rs 350 is protected, shares of Tata Motors could see a sharp reversal to Rs 450, a surge of 14 per cent, suggests the weekly chart. Earlier in the past, in May and March 2022, the stock had twice received steady accumulation near the same support.  However, do note, the stock does trade weak on the daily chart, but a negative breakdown violation is yet to happen. CLICK HERE FOR THE CHART

Tata Elxsi Ltd (TATAELXSI) 

Likely target: Rs 8,500

Upside potential:  13%

Tata Elxsi continues to trend on “Higher High, Higher Low” formation and despite the recent bloodbath in benchmark indices, the stock continues to hold the bullish formation, suggests the weekly chart. The 200-DMA remains the key level for the uptrend, which the stock holds with robust bias. The 200-DMA is placed at Rs 6,795 and given the positive momentum the stock can easily rally towards Rs 8,500, its next hurdle. CLICK HERE FOR THE CHART