Approaching Key Resistance After Completing a Bullish Cup Patter

11 ago

✅The stock has formed a classic bullish cup pattern, indicating a potential continuation of the upward trend. The price is now approaching the key resistance level near ₹7,200, which marks the completion of the cup pattern. A breakout above this level could lead to a strong upward move. The rounded bottom of the cup pattern has provided consistent support, leading to a gradual increase in price. This support has allowed the stock to maintain its upward trajectory, making the current resistance level crucial for determining the next phase of the trend.

✅The volume has been increasing as the stock approaches the resistance level, which is a positive sign for a potential breakout. A surge in volume during a breakout would confirm the strength of the move and suggest that the market participants are confident in the stock's bullish prospects. RSI is currently at 73 indicating strong bullish momentum. While the RSI is entering overbought territory, this is typical during breakouts and often suggests that the stock has the potential for further gains.

✅Info Edge has been expanding its portfolio of online services, particularly in the recruitment and real estate sectors, which has contributed to its strong revenue growth. Expansion into high-growth sectors often leads to increased investor interest and higher stock valuations. The company has consistently reported strong financial results, with steady revenue and profit growth, further supporting the bullish technical setup. Strong financial performance is a key driver of sustained stock price increases.