Vardhman Textiles Limited (Weekly Chart)

Multi-Year Consolidation → Breakout Attempt Above Major Supply CMP: ₹536 Major Resistance: ₹560–₹575 Structure: Range Breakout in Progress 🧱 Structure Analysis (2-Year Range) Price was stuck inside a broad rectangle: Upper band: ₹560–₹575 Lower band: ₹380–₹400 Repeated rejections from ₹560 zone (2024 & 2025). Now price is again approaching this ceiling with strong bullish candles. This is a third-time test → probability of breakout increases. 🌊 Elliott Wave Perspective Likely structure: Wave (A): ₹575 → ₹380 Wave (B): ₹380 → ₹540 Wave (C): ₹540 → ₹400 (completed correction) Now possibly starting Wave (1) of new impulse cycle. If breakout sustains, medium-term structure targets: 🎯 ₹650 🎯 ₹720 📊 Momentum & Behaviour ✔ Strong bullish weekly candles ✔ Higher lows from ₹400 ✔ Demand visible near ₹420–₹430 ✔ Volatility contraction before expansion This looks like accumulation → expansion phase. 🔑 Key Level: ₹575 (Neckline) Two clear scenarios: ✅ Weekly Close Above ₹575 → Confirmed structural breakout → Target ₹650–₹700 zone → Momentum traders enter ❌ Rejection Near ₹560 → Pullback to ₹480–₹500 → Retest before fresh breakout 📉 Support Zones ₹500 ₹460 ₹420 Invalidation: Sustained weekly close below ₹400. 🏭 Fundamental Context Company is: • Integrated textile manufacturer • Strong presence in yarn & fabrics • Export exposure Textile cycle has been under pressure due to: Cotton price volatility Global demand slowdown If global demand revives → operating leverage kicks in. This can lead to strong earnings expansion. 🎯 Risk–Reward View Aggressive traders: Position on breakout above ₹575. Conservative: Wait for breakout + retest. This is not a late rally — it’s a base breakout setup.