Breakout Confirmation on Fundamentally Strong IDFC First Bank!

Technical Structure After spending nearly four months in a well-defined consolidation range between ₹68 and ₹78, IDFC First Bank has finally broken out with strong momentum. The breakout candle shows high volume participation (≈96M shares), validating institutional interest. From an Elliott Wave perspective, the structure indicates completion of a corrective Wave 4 within a broader impulsive cycle, suggesting the beginning of Wave 5, which typically drives fresh all-time highs. Momentum & Divergence The MACD histogram had shown a subtle bullish divergence during October—price made a lower low near ₹70, but MACD formed a higher low—hinting early reversal signs. The recent positive crossover confirms renewed upward momentum. AVWAP Analysis The Anchored VWAP from the previous swing high near ₹82 served as a key dynamic resistance earlier. With today’s breakout, price has convincingly crossed above this AVWAP, flipping it into a strong support zone near ₹78–₹79. Sustaining above this level could attract positional buying interest. Fundamental Snapshot ROCE: ~12–13% and improving YoY NIMs: Among the best in its peer group, supported by low-cost CASA Profit Growth: Consistent PAT growth for the last 8 quarters Loan Book Quality: GNPA trending below 2%, showing strong credit discipline Outlook If price sustains above ₹78, the next logical target zone lies around ₹88–₹90 (measured move projection). Volume expansion, positive MACD, and improving fundamentals together build a multi-signal bullish confirmation.