Observations:
Rising Wedge Pattern:
The stock is trading within a rising wedge, a bearish pattern indicating a potential reversal or breakdown.
Currently, price is at the lower trendline of the wedge — a crucial support zone.
Bearish Candlestick:
A strong red candle has formed, suggesting selling pressure.
It’s testing the wedge’s lower support and very close to breaking down.
Volume:
Volume seems to be rising on red candles (selling), suggesting stronger bearish conviction.
Support Levels Below:
Immediate support: ₹8,613.50 (blue horizontal line).
If it breaks, next key levels are:
₹7,806.25
₹7,024.90
₹6,753.30
Potential Price Action Scenarios:
1. Bearish Breakdown (High Probability):
If the price breaks below ₹8,613.50 with strong volume, expect a drop toward ₹7,800 or lower.
This would confirm the breakdown of the rising wedge pattern.
2. Support Bounce (Low Probability):
If the price finds support exactly at the trendline and ₹8,613.50, a short-term bounce toward ₹8,800–₹9,000 is possible.
However, the upside looks limited due to the pattern.
Conclusion:
⚠️ Caution is advised: The chart structure and volume behavior suggest that a breakdown is likely.
A daily close below ₹8,613 would confirm the bearish move.
Use a stop-loss if you're holding long positions.
Rising Wedge Pattern:
The stock is trading within a rising wedge, a bearish pattern indicating a potential reversal or breakdown.
Currently, price is at the lower trendline of the wedge — a crucial support zone.
Bearish Candlestick:
A strong red candle has formed, suggesting selling pressure.
It’s testing the wedge’s lower support and very close to breaking down.
Volume:
Volume seems to be rising on red candles (selling), suggesting stronger bearish conviction.
Support Levels Below:
Immediate support: ₹8,613.50 (blue horizontal line).
If it breaks, next key levels are:
₹7,806.25
₹7,024.90
₹6,753.30
Potential Price Action Scenarios:
1. Bearish Breakdown (High Probability):
If the price breaks below ₹8,613.50 with strong volume, expect a drop toward ₹7,800 or lower.
This would confirm the breakdown of the rising wedge pattern.
2. Support Bounce (Low Probability):
If the price finds support exactly at the trendline and ₹8,613.50, a short-term bounce toward ₹8,800–₹9,000 is possible.
However, the upside looks limited due to the pattern.
Conclusion:
⚠️ Caution is advised: The chart structure and volume behavior suggest that a breakdown is likely.
A daily close below ₹8,613 would confirm the bearish move.
Use a stop-loss if you're holding long positions.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.