MCX - Bullish W-Pattern (Double Bottom Breakout)________________________________________
🚀 Multi Commodity Exchange of India Ltd (NSE: MCX) | Bullish W-Pattern (Double Bottom Breakout)
📊 Current Market Snapshot
CMP: ₹8,706.00
Sector: Financial Services / Commodity Exchange
Pattern Observed: 🟢 W-Pattern (Double Bottom Breakout)
Candlestick Signal: Strong Bullish Marubozu + Volume Breakout
Strength Rating: ⭐⭐⭐⭐☆ (High-Conviction Bullish Reversal)
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🧭 Technical Indicators
The technical indicators on this chart are flashing strong bullish signals. Momentum is clearly positive, supported by a Bullish Marubozu candle, which reflects strong buying pressure and conviction. The chart also indicates a possible breakout formation, confirmed by a strong bullish candle backed by extremely high volume — a classic sign of institutional participation.
Multiple bullish confirmations like swing trade alignment, intraday signal, RSI breakout, and bullish engulfing pattern further add weight to the uptrend. The Bollinger Band breakout and Bullish VWAP suggest sustained price expansion, while the BB Squeeze-Off hints at volatility returning in favor of the bulls. Altogether, these indicators reinforce a buy-on-dip structure with potential for continuation toward higher resistance zones.
MCX is currently trading in the Progressive Zone, indicating a phase of steady upward momentum where buyers are actively accumulating positions. This zone reflects controlled bullish strength and sustained participation, suggesting that the stock is gearing up for a potential breakout continuation.
The KST (Know Sure Thing) indicator for MCX is in bullish territory, confirming the upward momentum seen in price action. With a strong positive crossover and supportive strength reading, the KST reinforces the ongoing uptrend — indicating that momentum remains firmly in favor of the bulls and the stock could continue its northward journey.
MCX is trading between its Swing High at ₹8,439.5 and Swing Low at ₹7,304. The Top Range near ₹9,115 acts as a major resistance zone, while the Bottom Range around ₹7,304 provides strong support, defining a clear bullish structure with room for further upside if momentum sustains.
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📊 Trade Setup (Strong Momentum Entry)
Entry: ₹8,748.50
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💡 Learning Note
This setup is a textbook example of a W-pattern (Double Bottom) breakout, where price reverses from a downtrend after forming two clear lows at similar levels. The neckline breakout with heavy volume confirms a shift in market sentiment from bearish to bullish. Such patterns highlight how volume expansion and strong breakout candles validate reversal strength and help traders identify early entry points in new uptrends.
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⚠️ Disclosure & Disclaimer – Please Read Carefully
The information shared here is meant purely for learning and awareness. It is not a buy or sell recommendation and should not be taken as investment advice. I am not a SEBI-registered investment adviser, and all views expressed are based on personal study, chart patterns, and publicly available market data.
Position Status: No active position in MCX at the time of analysis.
Data Source: Past Chart reference(Historical levels)
Trading—whether in stocks or options—carries risk. Markets can move unexpectedly, and losses can sometimes exceed the money you have invested. Past performance or setups do not guarantee future results.
If you are a beginner, treat this as a learning guide and practice with paper trades before risking real money. If you are experienced, always assess your own risk, position sizing, and strategy suitability before entering trades.
Consult a SEBI-registered financial adviser before making any real trading decision. By engaging with this content, you acknowledge full responsibility for your trades and investments.
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