HDFC Life breaks its falling trendline after base formation!

HDFC Life breaks its falling trendline after base formation HDFC Life Insurance Company Limited (NSE: HDFCLIFE) was trading around ₹559.40 on September 22. Over the past four to five months, the stock has formed four distinct bottoms, creating a base formation around the lower levels. The technical structure improved further after the stock broke above a falling trendline. Multiple bullish divergences on the daily RSI were also observed during the bottom formations, indicating improving underlying momentum. The combination of repeated bottom formation, bullish RSI divergences and the falling-trendline breakout gives the chart a defined reversal structure. Sustaining above the broken trendline is now important for confirmation. My view is that ₹550-₹560 is the key area to monitor. Holding this zone would keep the recent breakout structure intact. A move below the defined risk level would weaken the setup.