PNB: Cup & Handle Breakout on the Charts ☕🚀

Technical View:

jumped 2.6% to ₹117.2, breaking above a crucial horizontal resistance near ₹116–₹117, confirming a cup and handle breakout on the daily chart. The pattern had been forming for months, and today’s breakout candle backed by strong volume (~40M shares) signals fresh bullish momentum. The stock is trading well above its 20- and 50-day EMAs, and RSI at 68 reflects healthy strength without extreme overbought conditions. Immediate support is placed around ₹112 and ₹107, while resistance is seen near ₹122–₹125. A sustained breakout above ₹125 could open the next leg higher toward ₹135–₹140. Price Action Note: The breakout structure is textbook — prolonged base, rounded bottom formation, followed by a tight handle and high-volume breakout. This indicates renewed institutional participation and a potential start of a medium-term uptrend continuation. Fundamental View: Punjab National Bank continues to show steady improvement in asset quality with lower NPAs and rising profitability. Loan book expansion, higher CASA deposits, and focus on retail and MSME lending are improving operating efficiency. The bank also stands to benefit from India’s robust credit growth cycle and strengthening balance sheets across the PSU banking sector. Outlook: The bias stays bullish above ₹112. Sustaining above ₹117–₹118 keeps momentum strong, with potential upside targets of ₹125–₹135. Traders can look to accumulate on dips near ₹112–₹114 with a stop below ₹107 for short-to-medium-term setups