NMDC WeeklyThis chart of NMDC on the weekly timeframe is showing a classic Cup and Handle pattern, which is generally a bullish continuation setup. After a strong uptrend, the price went into a rounded correction phase forming the “cup,” where selling pressure gradually reduced and buyers slowly regained control—this is visible in the smooth curved structure. The right side of the cup shows price climbing back toward the previous resistance zone around ₹87–₹88. After reaching this level, instead of a sharp rejection, the stock formed a small pullback or consolidation, which is the “handle.” This is a healthy sign, as it shakes out weak hands before a potential breakout.
From a volume perspective, you can see higher volumes during the initial uptrend and again near the right side of the pattern, indicating renewed buying interest. During the handle formation, volume remains relatively controlled, which is ideal—it suggests there is no aggressive selling pressure, and smart money might be accumulating quietly. A breakout above the resistance zone with a volume spike would further confirm strength.
In terms of risk management, the marked Stop Loss (SL) around ₹73.67 is placed below the handle’s support and recent swing lows. This is important because if price falls below this level, the structure of the handle breaks, and the pattern becomes invalid. The projected target near ₹115 is derived from the depth of the cup added to the breakout point, giving a favorable risk-reward setup. Overall, the chart reflects a strong bullish structure, but confirmation through a clean breakout with volume is key before expecting the full move.
Long
