Asian Paints is showing a potential breakout from a falling wedge pattern, which is a bullish reversal pattern.
Key Observations:
Pattern Formation: The stock has been in a falling wedge since November 2024 and is now attempting a breakout.
Breakout Confirmation: The price has moved above the wedge's upper trendline and is testing it as support. A confirmed breakout could push the stock towards higher levels.
Support & Resistance Levels:
Immediate Support: ₹2,228
Breakout Level (Entry): ₹2,301
Target 1: ₹2,566
Target 2: ₹2,771
Major Resistance: ₹3,399
Indicators & Volume Analysis:
✅ RSI (Relative Strength Index): RSI is around 49.44, rising towards 58.31, indicating increasing momentum. A breakout above 50 could confirm bullish strength.
✅ Volume Analysis: Volume has been picking up, signaling buying interest. A surge in volume post-breakout will add conviction.
✅ Risk-to-Reward Ratio: 1:3.64, making this a favorable trade setup.
Verdict: Bullish
The stock is showing signs of a trend reversal with a potential breakout from the falling wedge.
Plan of Action:
BUY at ₹2,301 once the breakout is confirmed with volume.
Stop Loss: ₹2,228 (below recent support).
Target 1: ₹2,566
Target 2: ₹2,771
Trailing Stop Loss: Move stop-loss higher as the stock progresses.
A breakout above ₹2,301 with strong volume could trigger a momentum rally. Keep an eye on volume and RSI for further confirmation. 🚀
Key Observations:
Pattern Formation: The stock has been in a falling wedge since November 2024 and is now attempting a breakout.
Breakout Confirmation: The price has moved above the wedge's upper trendline and is testing it as support. A confirmed breakout could push the stock towards higher levels.
Support & Resistance Levels:
Immediate Support: ₹2,228
Breakout Level (Entry): ₹2,301
Target 1: ₹2,566
Target 2: ₹2,771
Major Resistance: ₹3,399
Indicators & Volume Analysis:
✅ RSI (Relative Strength Index): RSI is around 49.44, rising towards 58.31, indicating increasing momentum. A breakout above 50 could confirm bullish strength.
✅ Volume Analysis: Volume has been picking up, signaling buying interest. A surge in volume post-breakout will add conviction.
✅ Risk-to-Reward Ratio: 1:3.64, making this a favorable trade setup.
Verdict: Bullish
The stock is showing signs of a trend reversal with a potential breakout from the falling wedge.
Plan of Action:
BUY at ₹2,301 once the breakout is confirmed with volume.
Stop Loss: ₹2,228 (below recent support).
Target 1: ₹2,566
Target 2: ₹2,771
Trailing Stop Loss: Move stop-loss higher as the stock progresses.
A breakout above ₹2,301 with strong volume could trigger a momentum rally. Keep an eye on volume and RSI for further confirmation. 🚀
Penerbitan berkaitan
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.
Penerbitan berkaitan
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.