Tata Motors Passenger Vehicles Gains 5.70%: 5 Key Factors Driving the Week’s Momentum

2 February 2026: Intraday High and Options Market Activity Signal Mixed Sentiment

Tata Motors Passenger Vehicles Ltd began the week with a robust intraday performance, surging 3.11% to a high of ₹355.25. This marked a rebound after two prior days of decline, with the stock outperforming both its sector and the Sensex, which closed down 1.03%. The stock traded above its 5-day, 20-day, and 50-day moving averages, signalling short- to medium-term momentum, though it remained below longer-term resistance levels.

Simultaneously, the options market exhibited heightened activity on both call and put sides ahead of the 24 February expiry. Call options at the ₹360 strike saw 8,338 contracts traded, reflecting bullish positioning anticipating a breakout above this level. Conversely, put options at the ₹350 strike recorded 5,377 contracts, indicating significant bearish hedging or speculative bets. This divergence highlighted investor caution amid mixed technical signals and a recent downgrade to a Sell mojo grade.

3 February 2026: Strong Intraday Gains Amid Mixed Technical Signals

The stock continued its upward momentum on 3 February, hitting an intraday high of ₹385 and closing with a 3.21% gain. This performance outpaced the automobile sector’s 2.26% rise and contrasted with the Sensex’s 2.97% decline, underscoring the stock’s relative strength. Technical indicators remained mixed; while short-term moving averages supported bullishness, the stock was still below its 100-day and 200-day averages.

However, technical analysis revealed a nuanced picture. The weekly MACD turned mildly bullish, suggesting potential short-term recovery, but monthly indicators remained bearish. The stock’s mojo grade was downgraded from Hold to Sell, reflecting concerns about sustaining gains amid sector headwinds. The interplay of bullish intraday price action and cautious technical signals suggested a stock at a critical juncture.

5 February 2026: Sharp Quarterly Loss Raises Concerns

The company reported a sharp quarterly loss for Q3 FY26, which raised serious concerns among investors. This fundamental setback contrasted with the recent price gains and added to the cautious sentiment reflected in the stock’s mojo downgrade. The loss underscored challenges facing the company amid sectoral pressures and evolving market conditions, tempering optimism from earlier in the week.

6 February 2026: Exceptional Volume and Mixed Price Action Amid Active Options Trading

On the final trading day of the week, Tata Motors Passenger Vehicles Ltd emerged as one of the most actively traded stocks by volume and value, with 78.54 lakh shares changing hands and a turnover exceeding ₹294 crore. Despite opening 2.45% lower at ₹365.00, the stock recovered to an intraday high of ₹381.80 before retreating to a low of ₹361.00, closing modestly up 0.31% at ₹369.90.

Technical indicators remained mixed, with the stock trading above short-term moving averages but below longer-term resistance levels. Delivery volumes declined by 6.7% compared to the five-day average, suggesting reduced committed investor participation despite high intraday activity. The weighted average price skewed towards the lower end of the day’s range, indicating some selling pressure.

Options market activity was notably heavy, with call options at strikes ₹380, ₹390, and ₹400 seeing significant volumes and open interest, signalling bullish expectations for a near-term rally. Simultaneously, put options at strikes ₹370, ₹360, and ₹350 also recorded substantial activity, reflecting hedging or bearish positioning. This dual-sided options interest highlights investor uncertainty amid mixed fundamental and technical signals.

Daily Price Comparison: Tata Motors Passenger Vehicles Ltd vs Sensex (2–6 Feb 2026)

Key Takeaways

Positive Signals: The stock outperformed the Sensex by 4.19% over the week, supported by strong intraday rallies on 2 and 3 February, and sustained trading volumes exceeding 78 lakh shares on 6 February. Active call option volumes at strikes above current prices indicate bullish sentiment among traders anticipating a breakout. The stock’s ability to trade above short-term moving averages reflects underlying short- to medium-term strength.

Cautionary Signals: The sharp quarterly loss reported on 5 February raises fundamental concerns, reflected in the downgrade to a Sell mojo grade. Mixed technical indicators, including bearish monthly MACD and Bollinger Bands, suggest resistance at longer-term moving averages. Heavy put option activity clustered near current prices signals hedging and bearish positioning, while declining delivery volumes point to reduced committed investor participation. Intraday volatility and price swings highlight ongoing uncertainty.

Conclusion

Tata Motors Passenger Vehicles Ltd’s week was characterised by a strong price rebound and active trading amid a complex backdrop of mixed technical signals and fundamental challenges. The stock’s 5.70% weekly gain and outperformance of the Sensex underscore resilience, supported by robust intraday rallies and significant options market activity. However, the sharp quarterly loss and cautious mojo rating temper enthusiasm, signalling that investors should remain vigilant.

The coexistence of heavy call and put option volumes ahead of the 24 February expiry reflects divergent market views and hedging strategies, emphasising the need for close monitoring of price action and open interest trends. While short-term momentum appears positive, longer-term resistance and sector headwinds may constrain sustained gains. Investors and traders should balance these factors carefully, considering both technical and fundamental developments in the evolving market environment.

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