🚀 Cholamandalam Investment & Finance Co. Ltd. – Breakout in Rising Channel

Cholamandalam has broken out above the upper boundary of its long-term rising channel, signaling a potential continuation of the dominant uptrend. The stock has consistently respected the channel structure, forming higher highs and higher lows — a hallmark of strong institutional accumulation. 🔹 Technical Overview Pattern: Rising channel breakout. Support Zone: ₹1,650–₹1,700 (breakout retest zone). Immediate Resistance: ₹1,800–₹1,820 (psychological level). RSI: Near 66, approaching bullish territory despite a mild negative divergence — requires follow-up momentum confirmation. Volume: Strong surge accompanying the breakout, validating strength. Trend: Firmly positive across short- and long-term moving averages. 🔹 Interpretation ✅ Sustained move above ₹1,700 indicates fresh buying momentum. ✅ RSI’s rebound from mid-zone shows improving strength despite divergence risk. ✅ As long as price holds above ₹1,650, upside potential remains intact. ⚠️ Profit-booking could occur near ₹1,800–₹1,850; consolidation may follow before extension. 📈 Outlook: The structure remains bullish with scope for continued momentum toward ₹1,850–₹1,950. A successful retest of the breakout zone could provide an ideal continuation entry setup. 📢 Disclaimer: For educational purposes only; not investment advice. 👤 Rajneesh Sharma – SEBI Registered Research Analyst (INH000020332)