🛒 DMart – Cup & Handle Breakout with Strong Fundamentals

🔎 Technical Structure Elliott Wave Perspective: The stock has completed a corrective structure over the last year and is now entering a new impulsive phase. The breakout above ₹4,540 confirms the initiation of a fresh upward wave. Pattern Formation: A classic Cup & Handle breakout is visible. Price broke above the neckline at ₹4,540 with strong volume, a bullish continuation signal. MACD Divergence: Earlier, MACD showed a bullish divergence when price made higher lows near ₹3,700–₹3,800, suggesting institutional accumulation. AVWAP Levels: Anchored VWAP from recent swing lows aligns around ₹4,540, reinforcing this zone as a strong support-turned-resistance-turned-support. Key Levels: Support: ₹4,540 Resistance: ₹5,150 (short-term), ₹5,400 (medium-term target) 🏦 Fundamental Backing Strong ROCE & ROE: DMart maintains efficient use of capital, reflecting its scalable retail model. Steady Revenue Growth: Consistent double-digit sales growth driven by store expansion and strong customer loyalty. Debt-light Structure: With minimal leverage, DMart’s fundamentals remain robust, supporting sustainable long-term growth. 📈 Summary DMart has given a Cup & Handle breakout above ₹4,540, supported by Elliott Wave structure and bullish MACD divergence. Fundamentally, its retail dominance, strong ROCE, and consistent profit growth make this breakout highly reliable. The stock could head towards ₹5,150–₹5,400 in the coming weeks.