Centum Electronics Breakout. A 20% Up move possibility
Pattern Analysis
1. Broadening Channel:
• This pattern is characterized by higher highs and lower lows, forming a widening range.
• It suggests increased volatility and indecision in the market.
2. Key Observations:
• The stock price is nearing the upper resistance line of the broadening channel (~₹2300–₹2400 levels).
• Historical data shows a strong rejection from this resistance zone.
• Support lies near ₹1800 (the lower boundary of the channel).
3. Volume:
• A breakout above the resistance line with significant volume could confirm an upward trend continuation.
• A lack of volume near the resistance could result in a pullback or consolidation.
4. Risk-Reward:
• If the stock breaks out, the potential upside could be near ₹3000 (as indicated in the projection).
• However, failure to break the resistance might result in a decline to the lower support (~₹1800 or lower).
Disclaimer- This is for educational purposes only. Please do your own research before investing.
1. Broadening Channel:
• This pattern is characterized by higher highs and lower lows, forming a widening range.
• It suggests increased volatility and indecision in the market.
2. Key Observations:
• The stock price is nearing the upper resistance line of the broadening channel (~₹2300–₹2400 levels).
• Historical data shows a strong rejection from this resistance zone.
• Support lies near ₹1800 (the lower boundary of the channel).
3. Volume:
• A breakout above the resistance line with significant volume could confirm an upward trend continuation.
• A lack of volume near the resistance could result in a pullback or consolidation.
4. Risk-Reward:
• If the stock breaks out, the potential upside could be near ₹3000 (as indicated in the projection).
• However, failure to break the resistance might result in a decline to the lower support (~₹1800 or lower).
Disclaimer- This is for educational purposes only. Please do your own research before investing.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.