Zomato share price: Today, we’ll analyze Zomato’s price action and its potential movements.
Zomato’s IPO debuted in August 2021 at approximately ₹116. After listing, the stock hit an all-time low of ₹45, from where it started recovering. Eventually, Zomato reached its all-time high of ₹304 in December 2024. However, after hitting this peak, the stock started declining.
Currently, Zomato is in a downtrend across all timeframes—weekly, daily, and monthly. However, it has taken strong support around ₹200, which is a crucial buying zone. Additionally, the 20-period Exponential Moving Average (EMA) on the monthly chart reinforces this support, making it a significant technical level.
Downside Support Levels for Zomato share price
If Zomato share price continues its downward movement, here are the key support levels to watch:
- ₹175 – A strong buying zone.
- ₹145 – The next major support if ₹175 fails to hold.
Currently, Zomato is trading around ₹212, and the ₹200 level is acting as immediate support.
Upside Target Levels for Zomato share price
If Zomato begins an upward move, these are the potential resistance levels (targets):
- ₹230 – The first upside target.
- ₹260 – The next resistance level.
- 304 – The all-time high.
However, since the overall trend is still bearish, we shouldn’t expect an immediate rally. A trend reversal confirmation is necessary before planning any bullish trades.
Strategy: What Should You Do in Zomato?
As we discussed, Zomato share price is still in a downtrend across all timeframes. We should not expect an immediate bullish move.
However, a potential trend reversal signal will be:
If Zomato closes above ₹230 and sustains there for at least one week.
If this happens, it will indicate a trend change from bearish to bullish, and we can then plan an entry with a strict stop-loss.
For now, there’s no confirmed buy signal, so it’s best to wait and watch.
FAQs
Q1: Why is Zomato share price falling after hitting ₹304?
Zomato hit an all-time high of ₹304 in December 2024, but faced strong selling pressure afterward. The stock entered a downtrend across all timeframes due to profit booking, valuation concerns, and broader market weakness.
Q2: What is the current trend of Zomato share price?
The trend is bearish on monthly, weekly, and daily charts. The stock is showing signs of weakness, and any upward movement should be viewed cautiously unless a confirmed trend reversal occurs.
Q3: What are the key support levels for Zomato in 2025?
- ₹200: Immediate and crucial support, backed by the monthly 20 EMA.
- ₹175: Strong buying zone if ₹200 fails.
- ₹145: Next major support if the decline continues.
Q4: What are the upside targets for Zomato in 2025?
- ₹230: First resistance and possible breakout level.
- ₹260: Next upside target.
- ₹304: All-time high; a long-term target if the bullish trend resumes.
Q5: Is now a good time to buy Zomato shares?
Not yet. Zomato is still in a downtrend. A better approach would be to wait for a weekly close above ₹230, which would signal a potential trend reversal. Only then can a safe entry be planned with proper stop-loss.
Q6: What should be the trading strategy for Zomato now?
- Wait and watch: Don’t enter until a confirmed trend change.
- Aggressive traders may take partial positions near support, but with strict risk management.
- Defensive traders should wait for breakout and consolidation above ₹230 for a low-risk entry.
Q7: Can Zomato reach its all-time high again in 2025?
If the ₹230 level is broken and sustained, and market sentiment improves, Zomato has the potential to gradually move toward ₹260 and eventually ₹304. However, this would require strong volume and positive price action confirmation.
Also read:
Reliance industries price action
Related Post:
99% of traders FAIL because of this!!
Disclaimer
Stock market investments are subject to market risks. The information in this article is for educational purposes only and should not be considered financial or investment advice. Readers should do their own research or consult a financial advisor before making any investment decisions. The author and publisher are not liable for any financial losses incurred.