Route Mobile Ltd – Volume Exhaustion Signals Potential Reversal

Route Mobile's steep down-trend from the ₹1,900 area into sub-₹950 has shown signs of running out of steam. A sharp uptick in volume over the past two weeks, coupled with the failure of bears to press price below the ₹925–950 support cluster, suggests exhaustion and a possible near-term bounce. Technical Highlights Support Floor: The ₹925–950 zone has held twice in 2025, marking it as a high-conviction demand area. Recent candlesticks show long lower wicks, indicating buying interest at these levels. Volume Spike: Volume this week jumped nearly 80% above the 20-week average, signaling capitulation by sellers and absorption by buyers—classic exhaustion behavior. Downtrend Break: The steep orange downtrend line from the 2024 highs was briefly pierced on heavy volume, hinting that sellers may be losing control. A sustained close above this line (~₹1,000+) would cement the first sign of a trend change. Momentum: Though weekly RSI remains mildly bearish (~45), the positive divergence between price (new lows) and RSI (higher lows) supports the case for a reversal. Key Levels Level Significance ₹1,155 Near-term resistance (recent swing high) ₹1,000–1,020 Trendline break zone & pivot area ₹950–925 Major support (exhaustion zone) ₹875 Lower-channel support (long-term) Conservative Re-test Entry Wait for pullback into ₹975–950. Confirmation: Bullish reversal candle (hammer/engulfing). Stop-loss: Below ₹925. Bearish Invalidator Break & close below ₹925 on high volume would negate the bullish thesis, opening the path to ₹875. 📢 Disclaimer: This is for informational purposes only. Nothing herein constitutes a buy or sell recommendation. I may or may not be holding a position in the stock mentioned. 🧑‍💼 Rajneesh Sharma is a SEBI-registered Research Analyst (Reg. No. INH000020332). 📄 Investments are subject to market risks. Read all related documents carefully before investing.