Kaynes Technology - What Chart Says?

Kaynes Technology’s chart is a clean example of a double bottom pattern, which signals a possible trend reversal from downtrend to uptrend. In simple terms, this pattern looks like a “W” shape. It shows that the price tried to fall twice but failed to break lower, meaning buyers are stepping in at the same level. How This Pattern Formed: Price made a first low near 3,350 → first bottom Then it bounced to 4,200–4,350 → this becomes the neckline (resistance) Price fell again near 3,350, but didn’t break lower → second bottom This indicates that selling pressure is weakening. Important Levels to Understand: Strong Support (Base): 3,300 – 3,400 Neckline Resistance: 4,200 – 4,350 Pullback Support (if rejection happens): 3,900 – 4,000 At the current price (CMP ~4202), the stock is testing resistance, not support. What Happens Next (Educational View): If price breaks and sustains above 4,350, the pattern gets confirmed If price gets rejected, it may retest 3,900–4,000 before any next move If price falls below 3,300, the pattern fails Target Calculation (Measured Move Method): Pattern height = 4,350 – 3,350 = 1,000 points Add this to breakout level → 4,350 + 1,000 = ~5,300 Practical Target Zones: Short-term: 4,700 – 4,900 Pattern target: 5,200 – 5,400 Extended (strong trend): 5,800+ (it is not a reccomendation) Key Learning: Do not assume breakout before it happens Wait for confirmation above resistance Price may retest breakout zone before moving higher Support and resistance change roles depending on price position This example clearly shows how price action reflects the shift from seller control to buyer strength in a structured way. Disclaimer: This is for educational purposes only and not a recommendation to buy or sell any security.