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Cupandhandlepattern

#PNBHOUSING - Keep in WL / C&H Set up in DTF📊 Script: Key highlights: 💡⚡ 📈 Cup & Handel Set up formation in Daily Time Frame. 📈 Price consolidating near Resistance, keep in WL 📈 Wait for Volume spike during Breakout, then Enter 📈 Can go for a swing trade BUY ONLY ABOVE 1140 DCB ⏱️ C.M.P 📑💰- 1088 🟢 Target 🎯🏆 – NA% ⚠️ Stoploss ☠️🚫 – NA% ⚠️ Important: Market conditions are Okish, Position size 50% per Trade. Protect Capital Always ⚠️ Important: Always Exit the trade before any Event. ⚠️ Important: Always maintain your Risk:Reward Ratio as 1:2, with this RR, you only need a 33% win rate to Breakeven. ✅Like and follow to never miss a new idea!✅ Disclaimer: I am not SEBI Registered Advisor. My posts are purely for training and educational purposes. Eat🍜 Sleep😴 TradingView📈 Repeat 🔁 Happy learning with MMT. Cheers!🥂
NSE:PNBHOUSINGLong
by MMT_MakeMoneyTrading
2
NAZARA TECHNOLOGIES LTD | Monthly Chart Breakout📊 NAZARA TECHNOLOGIES LTD (NSE: NAZARA) | Monthly Chart Breakout 📅 Date: June 1, 2025 📈 CMP: ₹1,295.10 (+28.04%) 📌 Ticker: NSE:NAZARA 📉 Chart Pattern Insight 🔥 Cup & Handle + Falling Wedge Breakout Nazara Tech has broken out of a strong Cup & Handle pattern, reinforced by a Falling Wedge breakout — a powerful confluence suggesting a major trend reversal. 🎯 Breakout is confirmed with high volume and a clean monthly candle close above key resistances. 📐 Fibonacci Retracement Levels (From High ₹1678 to Low ₹477) 🔸 38.2% – ₹935.85 (was resistance, now flipped to support) 🔸 50% – ₹1,077.55 🔸 61.8% – ₹1,219.25 (just surpassed – strong bullish confirmation) 🧭 100% – ₹1,678 (All-Time High) 📊 Indicator: RSI + Moving Average Cross (Icon shown) 🔍 RSI is at 71.63 and rising sharply, indicating strong momentum 🔺 RSI crossover above MA confirms bullish strength and trend continuation 🧱 Volume Spike 📈 Volume this month is multi-month high, validating the breakout 🔑 Key Levels Support: ₹935 (prior resistance, now retest zone) Immediate Resistance: ₹1,300 (psychological), ₹1,400 Target Zones: Short-Term: ₹1,450 Medium-Term: ₹1,600+ Long-Term: Retest of All-Time High ₹1,678+ 🛡️ SL: ₹935 (monthly close basis) 📌 Trading Plan Entry: Pullback near ₹1,220–₹1,250 or breakout retest SL: ₹935 (below 38.2%) Target: ₹1,450 / ₹1,600+ Time Frame: Positional – Multi-week to multi-month ⚠️ Disclaimer This analysis is for educational purposes only. Please do your own research or consult a SEBI-registered advisor before investing.
NSE:NAZARALong
by PriceAction_Pulse
HSCL: A Classic Breakout Story in the MakingNSE:HSCL : A Classic Breakout Story in the Making Price Action Analysis: - Stock has formed a strong uptrend from September 2024 lows around 365 levels - Current price of 517.80 represents a significant +41% move from the base - Recent breakout above the 500 resistance level with strong volume confirmation - Price action shows a classic accumulation pattern followed by a markup phase Volume Spread Analysis: - Significant volume spike visible in recent sessions (12.96M vs average 4.38M) - Volume confirmation during breakout above 500 levels - Accumulation pattern evident with higher volume on up days - Volume trend supports the bullish price action Base Formation & Key Levels: - Primary Base: Formed between 400-520 levels from December 2024 to May 2025 - Secondary Base: 440-480 consolidation zone during March-April 2025 - Base Duration: Approximately 6 months of sideways consolidation - Base Characteristics: Multiple retests of support levels with decreasing volatility Key Support & Resistance Levels: - Immediate Support: 480-500 zone (previous resistance turned support) - Strong Support: 440-460 zone (multiple bounce levels) - Major Support: 400 psychological level - Immediate Resistance: 520-530 zone - Next Resistance: 580-600 zone (measured move target) - All-time High Resistance: 688.70 Technical Chart Patterns: - Cup and Handle Pattern: Visible from October 2024 to June 2025 - Ascending Triangle: Formed during the consolidation phase - Bullish Flag: Recent consolidation before the breakout - Higher Highs and Higher Lows: Established uptrend structure Trade Setup & Strategy: Entry Strategy: - Primary Entry: 515-520 on any pullback to the breakout zone - Aggressive Entry: Current levels around 517-518 - Conservative Entry: Wait for retest of the 500 support level - Scale-in Approach: 50% at 515, 30% at 505, 20% at 495 Exit Strategy: - Target 1: 560-570 (Risk-Reward 1:2) - Target 2: 600-620 (Risk-Reward 1:3) - Target 3: 650-680 (Risk-Reward 1:4) - Trailing Stop: Use 480 as a trailing stop once Target 1 is achieved Risk Management: - Stop Loss: 475-480 (below breakout support) - Position Size: Maximum 2-3% of portfolio - Risk per Trade: Not more than 1% of total capital - Time Stop: Exit if no progress in 3-4 weeks Position Sizing Guidelines: - Conservative Investor: 1-1.5% portfolio allocation - Moderate Risk: 2-2.5% portfolio allocation - Aggressive Trader: 3-4% portfolio allocation (with tight stops) - Swing Trading: 2% with wider stops at 460 levels Fundamental & Sectoral Backdrop: Company Overview: - NSE:HSCL is a leading manufacturer of coal tar pitch and advanced carbon materials - Key products include coal tar pitch, carbon black feedstock, and speciality carbons - Strong presence in aluminium, graphite electrode, and speciality chemical sectors Sectoral Dynamics: - The speciality chemicals sector is showing strong growth momentum - Increased demand from the aluminium and steel industries - The government focus on Make in India and import substitution - Rising demand for advanced materials in electric vehicles and renewable energy Fundamental Catalysts: - Capacity expansion plans and new product launches - Strong demand from end-user industries - Improved margin profile due to product mix optimization - Debt reduction and improved financial metrics - ESG initiatives and sustainable product development Market Conditions: - Overall market sentiment is positive for chemical stocks - Sectoral rotation favours speciality chemicals - Export opportunities in global markets - Raw material cost stabilization supporting margins Risk Factors: Technical Risks: - Failure to sustain above 500 levels could lead to a retest of the 440 support level - High volatility is expected given the breakout nature - Overbought conditions in the short term may cause profit booking Fundamental Risks: - Raw material price volatility (coal tar and petroleum products) - Environmental regulations affecting production - Competition from global players - Economic slowdown affecting end-user demand - Currency fluctuation impact on exports/imports My Take: My analysis suggests a positive technical setup with strong breakout potential, supported by favourable sectoral trends and improving fundamentals. However, proper risk management and position sizing remain crucial for successful execution. Keep in the Watchlist. NO RECO. For Buy/Sell. 📌Thank you for exploring my idea! I hope you found it valuable. 🙏FOLLOW for more 👍BOOST if you found it useful. ✍️COMMENT below with your views. Meanwhile, check out my other stock ideas on the right side until this trade is activated. I would love your feedback. Disclaimer: "I am not a SEBI REGISTERED RESEARCH ANALYST AND INVESTMENT ADVISER." This analysis is intended solely for informational and educational purposes and should not be interpreted as financial advice. It is advisable to consult a qualified financial advisor or conduct thorough research before making investment decisions.
NSE:HSCLLong
by Karanshah137
10
MIRZAINT – Cup & Handle Breakout | Daily Chart📊 MIRZAINT – Cup & Handle Breakout from Order Block | RVol 349% | RSI Near Overbought | Daily Chart 📅 Chart Date: July 8, 2025 📍 CMP: ₹34.45 (+4.71%) 📈 Symbol: NSE:MIRZAINT 🔍 Technical Analysis Breakdown ☕ Cup & Handle Breakout Classic Cup & Handle pattern breakout above neckline resistance at ~₹33. Smooth rounding bottom base followed by tight consolidation and bullish breakout. 🟥 Volumized Order Block (OB) Analysis Previous Supply Zone: Between ₹41–₹49.5. Demand Zone: ~₹24–₹26, previously respected. Breakout occurred from a fresh bullish 1D OB . 📈 Relative Volume (RVol%): 349% Significant volume spike confirms strong buying interest behind the breakout. 📐 Measured OB Data 1.542M (44%) red OB supply previously pushed price down. Bullish OB of 795.893K (18%) supported accumulation phase pre-breakout. 📊 RSI (14, close): 69.18 Approaching overbought zone (>70), confirming strong trend but may see minor consolidation. 🏁 Key Technical Levels Breakout Level (Neckline): ₹33.00 CMP: ₹34.45 Resistance Ahead: ₹41.00 → ₹49.50 (previous OB supply zone) Support: ₹30.00 / ₹26.00 (OB base) 💡 Trade Setup Insight Entry: CMP on breakout or retest near ₹33 Target 1: ₹41 Target 2: ₹49+ Stoploss: Below ₹30 or ₹26 (OB base zone) Risk Profile: Moderate to Aggressive ⚠️ Disclaimer: This is an educational chart setup and not trading advice. Please conduct your own research and risk management. 📣 Follow @PriceAction_Pulse for more such clean breakouts and chart pattern analysis! 🔁 Drop a comment if TFCILTD is on your radar for the next breakout rally 📈
NSE:MIRZAINTLong
by PriceAction_Pulse
APARINDS : Stage 3 Candidate#APARINDS #stage3 #swingtrade #breakoutstock #trendingstock #patternbreakout APARINDS : Swing trade >> Stock in stage3 >> Breakout Candidate >> Cup & Handle pattern >> Good strength in Stock >> Good Recent Buildup >> Risk Reward Favorable Swing Traders can lock profit at 10% and keep Trailing Please Boost, comment and follow us for more Learnings. Disc : Charts shared are for learning purpose only, not a Trade recommendation. Do your own research and consult your financial advisor before taking any position.
NSE:APARINDSLong
by moneyfesttrading
TRANSRAILL : Breakout Stock (Swing Trading) #TRANSRAILL #breakoutstock #swingtrading #chartpattern #cupandhandlepattern #patternbreakout #patterntrading TRANSRAILL : Swing Trading >> Breakout Stock >> Cup and Handle pattern >> Breakout with Volume >> Good Strength in Stock >> Risk Reward Favorable Swing Traders can lock profit at 10% and keep Trailing Please Boost, comment and follow us for more Learnings Disc : Charts shared are for learning purpose only, not a Trade recommendation. Do your own research and consult your financial advisor before taking any position.
NSE:TRANSRAILLLong
by moneyfesttrading
2
SOUTHBANK – Breakout From Cup & Handle | Daily Chart📊 SOUTHBANK – Breakout From Cup & Handle | RSI Bullish | High Volume | Fibonacci Levels | Daily Chart 📅 Chart Date: July 2, 2025 📍 CMP: ₹31.60 (+2.63%) 📈 Symbol: NSE:SOUTHBANK 🔍 Technical Breakdown ✅ Cup & Handle Breakout A perfect cup & handle pattern breakout is visible Price breaks out above the neckline at ₹31.08, which was a strong resistance zone Breakout supported by rising volume (25.1M) adds conviction 📊 RSI Momentum RSI (14) reading at 67.96 signals bullish strength, approaching overbought but not yet extreme RSI crossover and previous bullish divergence helped initiate the move 📐 Fibonacci Retracement Levels (Swing: ₹22.21 to ₹36.46) 38.2% – ₹27.65 50.0% – ₹29.33 61.8% – ₹31.08 ✅ (Breakout zone) 78.6% – ₹33.41 100% – ₹36.46 🎯 🏁 Key Levels Breakout Zone (Neckline): ₹31.08 CMP: ₹31.60 Resistance Levels: ₹33.41 → ₹36.46 Support Levels: ₹29.33 → ₹27.65 💡 Trade Idea Entry: Above ₹31.10 on volume confirmation SL: Below ₹29.30 Targets: ₹33.40 → ₹36.40+ Momentum + Breakout = High Conviction Setup ⚠️ Disclaimer This analysis is for educational purposes only. Always do your own research and consult a registered advisor before investing.
NSE:SOUTHBANKLong
by PriceAction_Pulse
RattanIndia: Next New-Age Multi-Bagger Play ? Chart of the WeekWhy NSE:RTNINDIA Could Be Your Next Multi-Bagger Play, let's analyse my "Chart of the Week" Idea. Price Action: • Multiple base formations visible across the timeline from 2021-2025 • Classic cup and handle pattern formation during the 2023-2024 consolidation phase • Rectangle consolidation pattern between ₹35-40 levels during Early 2025 • Strong breakout from multi-year resistance around the ₹75-80 zone • Current pullback to retest breakout levels around the ₹47-50 range Key Supports and Resistance Levels: • Primary Support: ₹47-50 (previous resistance turned support) • Secondary Support: ₹35-40 (rectangle pattern base) • Major Support: ₹25-30 (long-term base level) • Immediate Resistance: ₹65-70 (previous consolidation zone) • Major Resistance: ₹75-80 (breakout level) • Target Resistance: ₹94-95 (measured move projection) Base Analysis: • Stage 1 Base: ₹10-25 range from 2021-2022 (Accumulation phase) • Stage 2 Base: ₹35-45 range during 2023-2024 (Re-accumulation) • Current Base: ₹47-50 retest zone (Healthy pullback after breakout) Volume Spread Analysis: Volume Characteristics: • Massive volume spike during recent breakout (300+ million shares) • Above-average volume during consolidation phases • Volume expansion on upward price movements • Volume contraction during pullback phases indicates a healthy correction • Volume profile shows strong institutional participation Volume Patterns: • Accumulation is visible during base formation periods • Distribution avoided during recent highs • Current pullback on lower volume suggests buying interest at support Trade Setup: Entry Strategy: • Primary Entry: ₹48-50 (current support retest) • Secondary Entry: ₹52-55 (breakout reconfirmation) • Aggressive Entry: ₹45-47 (deeper pullback opportunity) Exit Levels: • Target 1: ₹65-70 (38% upside from ₹50) • Target 2: ₹80-85 (65% upside from ₹50) • Target 3: ₹95-100 (90% upside from ₹50) Stop Loss Levels: • Conservative: ₹42-43 (below rectangle support) • Moderate: ₹45-46 (below recent lows) • Tight: ₹47-48 (below immediate support) Risk Management: Position Sizing: • Risk 1-2% of portfolio capital per trade • Use a 2-3% position size for a conservative approach • Maximum 5% allocation for aggressive traders Risk-Reward Ratios: • Entry at ₹50 with ₹45 stop: Risk-Reward of 1:3 to 1:9 • Entry at ₹52 with ₹47 stop: Risk-Reward of 1:2.6 to 1:8.6 Portfolio Allocation: • Small-cap allocation: 10-15% maximum • Individual stock limit: 2-5% of total portfolio • Sector diversification recommended Sectoral and Fundamental Backdrop: Business Overview: • NSE:RTNINDIA comprises of tech-focused new age businesses, including e-commerce, electric vehicles, and drones • The company is completely focused on providing world-class electric mobility products that are affordable and accessible to every Indian • Multi-business model spanning fintech, e-commerce, and drone technology Sector Dynamics: • The electric vehicle sector is experiencing government policy support • The e-commerce segment is benefiting from the Digital India initiatives • Drone technology is gaining traction in commercial applications • Tech-focused businesses aligned with India's digital transformation Financial Highlights: • Market cap of RattanIndia Enterprises Ltd stood at Rs. 8,263 Cr • RattanIndia Enterprises Ltd's net Sales rose by 22% since the same period last year to ₹ 6,866 Cr in the FY2025 • The company is in a growth investment phase with expanding business verticals. Investment Thesis: • Diversified exposure to high-growth sectors • Potential beneficiary of India's transition to electric mobility • Strong technical setup after multi-year base formation • Early-stage company with significant scaling potential ahead Risk Factors: Technical Risks: • Small-cap volatility and liquidity concerns • Dependence on broader market sentiment • Potential for gap-down moves in adverse conditions Fundamental Risks: • Current losses and cash burn in the growth phase • Execution risk across multiple business verticals • Competition in the electric vehicle and e-commerce segments • Regulatory changes affecting drone and fintech operations My Take: This technical setup presents a compelling opportunity with the stock breaking out of a well-defined pattern, supported by decent enough fundamentals in the Growth Sectors of New Age Company and favourable sector dynamics. The risk-reward profile appears attractive for traders and investors willing to manage position size appropriately. Keep in the Watchlist. NO RECO. For Buy/Sell. 📌Thank you for exploring my idea! I hope you found it valuable. 🙏FOLLOW for more 👍BOOST if you found it useful. ✍️COMMENT below with your views. Meanwhile, check out my other stock ideas on the right side until this trade is activated. I would love your feedback. Disclaimer: "I am not a SEBI REGISTERED RESEARCH ANALYST AND INVESTMENT ADVISER." This analysis is intended solely for informational and educational purposes and should not be interpreted as financial advice. It is advisable to consult a qualified financial advisor or conduct thorough research before making investment decisions.
NSE:RTNINDIALong
by Karanshah137
15
ISLAMIC NEW YEAR OR RATHYATRA PICKTechnical View Stock is clearly formed Cup&Handle pattern. Privious major SR Line break. Pattern made near major SR line. complete reversal formation. RESPONIND CMP 219 TARGET 250/275/300+++ BUY ON DIPS NEAR 200-204 SL 190( DAILY CLOSING BASIS) Fundamental View ROE and ROE BOTH ARE GOOD. Quaterly and Yearly boh Revenue and PAT are Highest Ever. positive cashflow.. I Am Not SEBI Registered Research Analyst. It Is Giving Only Educational Purpose. Buying in RESPONIND After Discussing With Your Financial Advisor.
NSE:RESPONIND
by sahilmalek879
Titan - Keep On WatchCMP 3652 on 26.06.25 The chart itself is self-explanatory. The price has formed a Cup & Handle-like pattern since February 2025. This time, it is reaching the breakout levels. MACD shows a likely reversal, too. If it breaks out, it may go bullish to reach the levels of 3850, 4050, and potentially higher, depending on the market conditions. In case of any correction, support levels are around 3510. One may plan entry on different levels while considering risk management and position size. All these illustrations are only for learning and sharing purposes; it is not buy or sell advice. Please do your research before taking any trade. All the best.
NSE:TITANLong
by anandlive
7
JAMNAAUTO - VCP Pattern Near Breakout📊 JAMNA AUTO (JAMNAAUTO) – VCP Pattern Near Breakout | RSI Momentum | Volume Surge | Daily Chart 📅 Chart Date: June 26, 2025 📈 CMP: ₹94.32 (+4.60%) 📍 Ticker: NSE:JAMNAAUTO 🔍 Technical Analysis Summary ☕ Cup & Handle Formation The chart shows a well-formed Cup & Handle pattern Neckline resistance at ₹94.48 – a break above this zone could trigger bullish continuation Pattern suggests accumulation and breakout setup after prolonged downtrend reversal 📈 Volume Rising volume on recent candles, supporting strength of potential breakout Volume above 3.3M confirms strong buying interest 📊 RSI Indicator (14) RSI currently at 63.87 and rising Multiple historical RSI Bullish crossovers visible during base and handle formation RSI > 60 indicates momentum is favoring bulls 📍 Key Price Levels ✅ Breakout Zone (Neckline): ₹94.48 🚀 Upside Targets (Post-breakout estimate): ₹102 ₹110 ₹120+ 🛡️ Support Zones: ₹90 (immediate) ₹85 (handle base) ₹80 (cup base) 📌 Trade Setup Idea Entry: On breakout above ₹94.50 with volume SL: Below ₹89 Targets: ₹102 → ₹110 → ₹120+ Risk-Reward: Good, considering rounded base and handle plus RSI confirmation ⚠️ Disclaimer This chart analysis is for educational purposes only. Always DYOR (Do Your Own Research) and consult a financial advisor before making investment decisions.
NSE:JAMNAAUTOLong
by PriceAction_Pulse
Titan: Cup & Handle Pattern Signals Major Uptrend ContinuationNSE:TITAN Cup & Handle Pattern Signals Major Uptrend Continuation after Macquarie sees Q1 growth on jewellery demand Price Action Analysis: • Stock has formed a classic Cup & Handle pattern over an 8-month period from February 2025 to June 2025 • Cup formation shows a rounded bottom with depth of approximately 800 points (3,700 to 2,900 levels) • Handle formation displays controlled consolidation with lower volatility, indicating institutional accumulation • Price action demonstrates strong momentum with a 3.58% daily gain and healthy volume expansion Volume Spread Analysis: • Volume pattern confirms the Cup & Handle formation with classic volume characteristics • During cup formation, volume contracted during the decline and expanded during recovery • Handle formation shows diminishing volume, indicating reduced selling pressure • Recent breakout accompanied by significant volume spike (2.7M vs average), confirming institutional participation • Volume-price correlation remains positive, supporting the bullish breakout thesis Key Technical Levels: Support Levels: • Primary Support: 3,500 • Secondary Support: 3,400 • Major Support: 3,200 Resistance Levels: • Immediate Resistance: 3,700 (Previous highs and psychological level) • Major Resistance: 3,867 (52 Week high marked on chart) • Extended Target: 4,200 (Cup & Handle measured move target) Technical Patterns Identified: • Cup & Handle Pattern: Primary bullish continuation pattern spanning 5 months • Ascending Triangle: Within the handle formation, showing higher lows • Volume Accumulation Pattern: Consistent with institutional buying during consolidation phases Trade Setup: Entry Strategy: • Primary Entry: 3,650-3,680 (Current levels on any minor pullback) • Secondary Entry: 3,580-3,620 • Aggressive Entry: Market price for momentum traders Exit Levels: • Target 1: 3,800 (Near-term resistance, book 30% profits) • Target 2: 3,950 (Previous highs breach, book 40% profits) • Target 3: 4,200 (Cup & Handle measured move, remaining 30%) Risk Management: • Stop Loss: 3,480 (Below handle low with 5% buffer) • Risk-Reward Ratio: 1:3 (Risk of 170 points vs reward of 500+ points to first major target) • Maximum Risk per Trade: 2% of portfolio capital Position Sizing: • Conservative Approach: 1-1.5% of portfolio given the strong setup • Moderate Approach: 2-2.5% for traders comfortable with mid-cap volatility • Scale-in Strategy: 50% on initial entry, 30% on any dip to secondary entry, 20% on momentum confirmation Sectoral and Fundamental Backdrop: Sector Analysis: • Consumer Discretionary sector showing resilience amid economic recovery • Jewellery and watches segment benefiting from the wedding season demand and festival purchases • Luxury consumption trends supporting the premium positioning of Titan's brands • Rural demand recovery provides an additional growth catalyst for the company Fundamental Highlights: • Strong brand portfolio including Tanishq, Titan, Fastrack, and Sonata • Consistent market share gains in the organised jewellery retail segment • Digital transformation initiatives are improving operational efficiency • Expansion in tier-2 and tier-3 cities driving geographical diversification Macroeconomic Factors: • Favourable gold price trends supporting jewellery business margins • Rising disposable income in Indian households is boosting luxury spending • The government's focus on organized retail supporting compliant players like Titan • Wedding season and festival demand provide seasonal tailwinds Key Risks to Monitor: • Gold price volatility is impacting raw material costs and consumer demand • Competition from online jewellery platforms and regional players • Economic slowdown potentially affecting discretionary spending • Regulatory changes in gold import duties or GST rates My Take: This technical setup presents a compelling risk-reward opportunity with the Cup & Handle pattern completion, strong volume confirmation, and favourable sectoral backdrop supporting the bullish thesis for Titan Company. Keep in the Watchlist. NO RECO. For Buy/Sell. 📌Thank you for exploring my idea! I hope you found it valuable. 🙏FOLLOW for more 👍BOOST if you found it useful. ✍️COMMENT below with your views. Meanwhile, check out my other stock ideas on the right side until this trade is activated. I would love your feedback. Disclaimer: "I am not a SEBI REGISTERED RESEARCH ANALYST AND INVESTMENT ADVISER." This analysis is intended solely for informational and educational purposes and should not be interpreted as financial advice. It is advisable to consult a qualified financial advisor or conduct thorough research before making investment decisions.
NSE:TITANLong
by Karanshah137
26
Breakout from cup and handle pattern Grasim Cup and Handle Breakout Setup Grasim is forming a classic Cup and Handle pattern on the daily chart. ✅ Breakout Level: 2790 🛑 Stoploss: Below 2650 (handle low) 🎯 Target Zone: 3290 (based on depth projection and prior highs) Pattern Logic: Rounded cup base indicates accumulation Handle pullback was shallow with declining volume Breakout attempt with volume surge Price above 20 EMA & 50 EMA RSI > 55 and MACD nearing bullish crossover
NSE:GRASIMLong
by Punit190
1
Indian Metals & Ferro Alloy: Flag & Pole BONSE:IMFA Breaks out of the Flag & Pole Pattern with Huge Volumes today. Price Action Analysis: - Stock experienced a significant decline from highs around 998.80 to lows near 549.80, representing approximately a 45% correction - Recent breakout above 720 levels shows strong momentum reversal - Current price at 772.50 (+ 7.77%) indicates bullish sentiment returning - Higher highs and higher lows pattern emerging on the right side of the chart Volume Spread Analysis: - Volume spike coinciding with recent breakout confirms genuine buying interest - Volume of 202.22K appears elevated compared to previous months - Green volume bars during the recent rally suggest an accumulation phase - Low volume during the consolidation phase indicates smart money positioning Key Technical Levels: Support Levels - Primary Support: 720-730 (recent breakout zone) - Secondary Support: 680-690 (previous resistance turned support) - Major Support: 600-620 (previous consolidation zone) Resistance Levels: - Immediate Resistance: 800-820 - Major Resistance: 880-900 - Long-term Resistance: 950-998 (previous highs) Base Formation: - Cup and Handle pattern visible with base formation between 550-680 levels - Duration of base: Approximately 4-5 months (February to June 2025) - Handle formation in the May-June period before the breakout - Flag & Pole Pattern Broke today Technical Patterns Identified: Primary Pattern: Cup and Handle - Well-defined cup formation with rounded bottom - Handle shows controlled pullback with lower volume - Breakout above handle resistance confirms pattern completion - Target projection: 950+ levels based on pattern height Secondary Patterns: - Descending trendline resistance tested today - Double bottom formation around 550-580 levels - Bullish flag formation post-breakout Trade Setup Recommendations: Entry Strategy: - Aggressive Entry: Current levels 770-775 on any minor dip - Conservative Entry: 720-730 on pullback to breakout zone - Momentum Entry: Above 800 for trend continuation Exit Strategy: - Target 1: 850 (10% upside from current levels) - Target 2: 920 (19% upside potential) - Target 3: 980 (27% upside to retest previous highs) Stop-Loss Levels: - For aggressive entries: 720 (7% risk) - For conservative entries: 680 (6% risk from 720 entry) - Trailing stop: 8-10% below recent swing lows Risk Management Framework: Position Sizing: - Risk per trade: Maximum 2% of portfolio - Position size calculation: Portfolio value × 2% ÷ stop-loss distance - For ₹1 lakh portfolio with 7% stop: ₹2,000 ÷ 0.07 = ₹28,571 position size Risk Controls: - Maximum exposure to single stock: 5% of portfolio - Sector concentration limit: 15% in the metals sector - Use of position sizing calculator mandatory - Weekly portfolio review and rebalancing Sectoral Backdrop Analysis: Metals Sector Dynamics: - Global steel demand recovery supporting Indian metal stocks - Infrastructure spending by the government boosts domestic demand - Raw material cost stabilization improves margins - Export opportunities are increasing with global supply chain shifts Industry Tailwinds: - The government's focus on infrastructure development - PLI schemes supporting the manufacturing sector - Green energy transition requiring metal inputs - Automotive sector recovery driving steel demand Fundamental Considerations: Company Specific Factors: - Debt reduction initiatives improving balance sheet strength - Capacity expansion plans supporting long-term growth - Technology upgrades enhancing operational efficiency - ESG compliance improving institutional investor interest Macroeconomic Factors: - Rupee stability supporting import-dependent operations - Interest rate environment favourable for the capital-intensive sector - Government policy support for domestic manufacturing - Global commodity cycle showing signs of recovery Trading Psychology Notes: Behavioural Considerations: - Stock showing classic accumulation after major decline - Institutional buying is likely during the base formation period - Retail sentiment improving with breakout confirmation - FOMO factor may drive further momentum Market Sentiment Indicators: - Relative strength improving against the broader market - Sector rotation favours cyclical stocks - Technical breakout attracting momentum traders - Long-term investors find value after the correction My take: This technical setup presents a compelling risk-reward opportunity with clearly defined entry, exit, and risk management parameters. The combination of a strong technical breakout and improving sectoral fundamentals creates a favourable environment for potential gains. Keep in the Watchlist. NO RECO. For Buy/Sell. 📌Thank you for exploring my idea! I hope you found it valuable. 🙏FOLLOW for more 👍BOOST if you found it useful. ✍️COMMENT below with your views. Meanwhile, check out my other stock ideas on the right side until this trade is activated. I would love your feedback. Disclaimer: "I am not a SEBI REGISTERED RESEARCH ANALYST AND INVESTMENT ADVISER." This analysis is intended solely for informational and educational purposes and should not be interpreted as financial advice. It is advisable to consult a qualified financial advisor or conduct thorough research before making investment decisions.
NSE:IMFALong
by Karanshah137
6