POLYCAB

Ltd reflects a bullish breakout from a prolonged consolidation phase.

The daily chart of

Ltd reflects a bullish breakout from a prolonged consolidation phase, signaling renewed momentum and possible trend reversal. After a sharp decline from its previous highs near ₹8,000, the stock found a strong base around ₹4,800 and entered a sideways accumulation zone for several weeks. The recent breakout above ₹5,400 – a horizontal resistance zone – is backed by a bullish candle and a decent increase in volume (374.35K), suggesting strength in the move. The price has now entered a measured move zone with a near-term target of ₹5,869, which is derived from the 4.53% move (₹254.5) projected from the breakout point. This zone also aligns with previous support-turned-resistance levels, making it a critical inflection point. The breakout structure forms a **rounding base**, a classic reversal pattern that hints at a shift from distribution to accumulation. Moreover, the price is trading above key moving averages (not visible here but likely based on structure), indicating bullish sentiment. Sustained trade above ₹5,400 could lead to further upside, while a pullback to retest this breakout zone (₹5,400–₹5,450) would be healthy and offer a better risk-reward entry. On the downside, ₹5,200 now acts as strong support; breaching this could nullify the breakout narrative and shift sentiment back to neutral or mildly bearish. Overall, Polycab's chart structure supports a bullish bias in the short to medium term, with ₹5,869 and beyond as the next logical targets if momentum sustains.