Cup-and-Handle Breakout Setup on a Fundamentally Strong Candidate!

Tata Communications is forming a textbook Cup-and-Handle pattern, a structure that often signals the start of a major trend continuation. After months of accumulation, price has reclaimed the neckline near ₹1,815, turning it into a strong support. 🔍 Technical Structure Cup Formation: A smooth, rounded base from January to October shows steady accumulation and reduced selling pressure. Handle Formation: The recent consolidation above ₹1,880 reflects a healthy pullback, shaking out weak hands before an up-move. Elliott Wave Perspective: The rally from the cup bottom resembles a developing Wave 3, supported by rising volume and strong candles. MACD Outlook: Histogram is flattening after a minor dip – a sign of bullish momentum rebuilding, typical before a Wave-3 continuation. AVWAP Anchor: AVWAP from the breakout zone aligns around the ₹1,820–1,850 band, acting as a dynamic support for medium-term buyers. 🧾 Fundamental Snapshot The company remains fundamentally robust with: Consistent revenue expansion Healthy cash flows Steady profitability driven by digital infrastructure demand This combination of price structure + momentum + fundamentals strengthens the reliability of the pattern. 🎯 Takeaway A sustained daily close above ₹1,950 may confirm continuation toward higher levels, while ₹1,815 becomes the key support zone to monitor.