Gala Precision Engineering Ltd – Weekly Downtrend Break Attempt with RSI Improvement

🧭 Weekly Chart Context Price has been in a prolonged corrective phase, making lower highs under a declining trendline. Recent candle shows a strong bullish response from the lower range with noticeable volume expansion. 📐 Key Price Levels Immediate Support: ₹760–₹770 (well-tested base on multiple weeks) Major Support Zone: ₹710–₹720 (prior demand + swing base) Immediate Resistance: ₹845–₹860 (recent supply + trendline zone) Upper Resistance: ₹900–₹920 (previous breakdown area) 🔎 Technical Observations Trendline Structure: Price is attempting to move back above the falling weekly trendline, signaling a possible shift from decline to range. Moving Average: Price is approaching the 30-week SMA, which has acted as dynamic resistance during the downtrend. RSI Structure: RSI has turned up from the 40–45 zone and broken its short-term downward slope, indicating improving momentum. Momentum Shift: Higher RSI low while price was flat to marginally lower suggests early bullish pressure. Volume: Recent upside candle is supported by higher volume, hinting at institutional participation. 🧩 Interpretation The stock appears to be transitioning from a downtrend into a base-building phase. Sustaining above ₹780–₹800 keeps the recovery structure intact, while the ₹850–₹900 zone remains a critical test for trend confirmation. RSI behavior supports a short-term momentum improvement, though the broader structure still needs follow-through. 📢 Disclaimer: For educational and technical analysis purposes only; not investment advice. 👤 Rajneesh Sharma – SEBI Registered Research Analyst (INH000020332)