💄 Nykaa: Multi-Year Cup & Handle Breakout Signals Potential Re-Rating

After a prolonged post-listing correction and nearly four years of base formation, Nykaa appears to be completing a massive Cup & Handle pattern on the weekly chart. The stock has now crossed a crucial resistance zone around ₹285 and is attempting a decisive breakout, potentially marking the beginning of a new long-term growth cycle. 📈 Technical View 1. Elliott Wave Structure Following the sharp decline after listing, the stock spent several years building a broad accumulation base, completing a large corrective cycle. The rounded cup formation indicates a gradual transition from distribution to accumulation. The recent breakout above resistance suggests the possible start of a powerful Wave-3 advance, often the strongest phase in Elliott Wave analysis. 🏢 Fundamental Strength The technical breakout is supported by improving business fundamentals: ✅ Market-leading position in India's beauty, personal care, and fashion e-commerce segments. ✅ Strong brand recognition and loyal customer base. ✅ Consistent growth in Gross Merchandise Value (GMV) and active customer additions. ✅ Improving profitability driven by operational efficiency and scale benefits. ✅ Beneficiary of rising online consumption and premium beauty spending trends in India. 🎯 Key Levels to Watch Major Breakout Zone: ₹285–290 Immediate Support: ₹275–285 Pattern Target: ₹425–450 Intermediate Resistance: ₹340–360 Risk Management: A weekly close below the breakout zone could result in a retest before the next move higher.