(Timeframe: Weekly | Scale: Logarithmic)
The stock has confirmed a decisive breakout from a multi-year resistance zone. This move is supported by a significant capacity expansion announcement, rising volume, and a bullish structural shift.
🚀 1. The Fundamental Catalyst (The "Why")
The breakout is driven by a clear growth narrative that is attracting institutional interest:
- ₹132 Cr Expansion Plan: The company recently announced a major investment to set up new manufacturing facilities. This signals management's confidence in future demand.
- Steady Earnings: Q2 FY26 results showed stable profitability (Net Profit ~₹40 Cr) and declared an interim dividend, providing a fundamental floor to the price.
- Impact: This news has acted as the trigger for the stock to finally clear the 112-114 hurdle.
📈 2. The Long-Term Structure (The Breakout)
- The "Lid" (112-114 Zone): This is the critical polarity zone. It has acted as both support and resistance since Nov 2021. Breaking a level with 4 years of history is a significant technical event.
- The Breakout: This week’s surge of 8.53% with 17.84 Million in volume is a high-conviction move. The decisive close above ₹114 confirms that the "supply" at this level has finally been absorbed.
- Volume Profile: The "rising volume" in recent weeks confirms that smart money is accumulating shares in anticipation of the expansion benefits.
📊 3. Technical Indicators
Indicator analysis shows a synchronized bullish trend:
- EMAs: Short-term EMAs are in a PCO state across Monthly and Weekly timeframes, confirming that the trend is aligning upwards.
- RSI: The Relative Strength Index is rising without being extremely overbought, leaving room for further upside momentum.
🎯 4. Future Scenarios & Key Levels
With the "lid" removed, the stock is primed for a recovery rally.
- 🐂 Bullish Targets:
- Target 1: ₹132. This is the first logical resistance.
- Target 2: ₹149 (The ATH). A retest of the all-time high is the ultimate objective of this breakout structure.
- 🛡️ Support (The "Must Hold"):
- Re-test Zone: The ₹112 – ₹114 zone has now flipped to support. A pullback to this level would be a healthy re-test.
- Stop Loss: If the momentum fails, the stock must not close below ₹104. Losing this level would invalidate the breakout and trap the new buyers.
Conclusion
This is a high-quality setup. The combination of a multi-year resistance breakout and a tangible expansion plan makes this a strong candidate for a move toward ₹132. Watch for stability above ₹114.
The stock has confirmed a decisive breakout from a multi-year resistance zone. This move is supported by a significant capacity expansion announcement, rising volume, and a bullish structural shift.
🚀 1. The Fundamental Catalyst (The "Why")
The breakout is driven by a clear growth narrative that is attracting institutional interest:
- ₹132 Cr Expansion Plan: The company recently announced a major investment to set up new manufacturing facilities. This signals management's confidence in future demand.
- Steady Earnings: Q2 FY26 results showed stable profitability (Net Profit ~₹40 Cr) and declared an interim dividend, providing a fundamental floor to the price.
- Impact: This news has acted as the trigger for the stock to finally clear the 112-114 hurdle.
📈 2. The Long-Term Structure (The Breakout)
- The "Lid" (112-114 Zone): This is the critical polarity zone. It has acted as both support and resistance since Nov 2021. Breaking a level with 4 years of history is a significant technical event.
- The Breakout: This week’s surge of 8.53% with 17.84 Million in volume is a high-conviction move. The decisive close above ₹114 confirms that the "supply" at this level has finally been absorbed.
- Volume Profile: The "rising volume" in recent weeks confirms that smart money is accumulating shares in anticipation of the expansion benefits.
📊 3. Technical Indicators
Indicator analysis shows a synchronized bullish trend:
- EMAs: Short-term EMAs are in a PCO state across Monthly and Weekly timeframes, confirming that the trend is aligning upwards.
- RSI: The Relative Strength Index is rising without being extremely overbought, leaving room for further upside momentum.
🎯 4. Future Scenarios & Key Levels
With the "lid" removed, the stock is primed for a recovery rally.
- 🐂 Bullish Targets:
- Target 1: ₹132. This is the first logical resistance.
- Target 2: ₹149 (The ATH). A retest of the all-time high is the ultimate objective of this breakout structure.
- 🛡️ Support (The "Must Hold"):
- Re-test Zone: The ₹112 – ₹114 zone has now flipped to support. A pullback to this level would be a healthy re-test.
- Stop Loss: If the momentum fails, the stock must not close below ₹104. Losing this level would invalidate the breakout and trap the new buyers.
Conclusion
This is a high-quality setup. The combination of a multi-year resistance breakout and a tangible expansion plan makes this a strong candidate for a move toward ₹132. Watch for stability above ₹114.
Disclaimer: This analysis is my personal view & for educational purposes only. They shall not be construed as trade or investment advice. Before making any financial decision, it is imperative that you consult with a qualified financial professional.
Penafian
Maklumat dan penerbitan adalah tidak bertujuan, dan tidak membentuk, nasihat atau cadangan kewangan, pelaburan, dagangan atau jenis lain yang diberikan atau disahkan oleh TradingView. Baca lebih dalam Terma Penggunaan.
Disclaimer: This analysis is my personal view & for educational purposes only. They shall not be construed as trade or investment advice. Before making any financial decision, it is imperative that you consult with a qualified financial professional.
Penafian
Maklumat dan penerbitan adalah tidak bertujuan, dan tidak membentuk, nasihat atau cadangan kewangan, pelaburan, dagangan atau jenis lain yang diberikan atau disahkan oleh TradingView. Baca lebih dalam Terma Penggunaan.