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THREETREND RESEARCH

9th May · SEBI-Registered Analyst

SBIN
When the market reaches a trendline resistance zone, buyers often become cautious while sellers start creating pressure, leading to consolidation near the resistance area. This sideways movement indicates indecision between buyers and sellers, but if the price repeatedly fails to break above the trendline, it signals weakening bullish momentum. Eventually, increased selling pressure can trigger a downside move, causing the market to fall from the trendline resistance zone. Traders usually consider this behavior as a bearish indication, especially when supported by bearish candlestick patterns or lower trading volume during the consolidation phase.

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