Breakout Brewing in a Defence Leader | Multi-Signal Confirmation Setup

Technical View (Confluence-Based Analysis) 1️⃣ Elliott Wave Structure The strong rally from the mid-2025 lows appears to be an impulsive Wave 3. The price has spent several months in a sideways corrective phase (Wave 4), forming a clean rectangle consolidation between ~₹380–₹429. Current price action suggests the early stage of Wave 5, which typically results in a sharp directional move once resistance is broken. 2️⃣ MACD Insight During the recent consolidation, price made equal or marginally lower lows, while momentum (MACD) has held higher lows → bullish divergence. This indicates selling pressure is weakening, and momentum is quietly rebuilding. 3️⃣ AVWAP Perspective Price is trading above AVWAP from the major swing low, confirming that higher-timeframe participants are still positioned long. The consolidation is happening above AVWAP, reinforcing it as a strong demand zone rather than distribution. 4️⃣ Key Structure Level The ₹429–430 zone is a well-defined horizontal resistance tested multiple times. A decisive close above this level would mark a range expansion, with projected upside towards the next impulsive leg (~₹480 zone, as per structure measurement).