City Union Bank forms a bullish technical setup!

City Union Bank forms a bullish technical setup City Union Bank Limited (NSE: CUB) gained 2.02% on September 18 and closed at ₹231.82 after bouncing from ₹227 support. The stock also reclaimed its key moving average during the session. The daily chart is showing a sequence of higher highs and higher lows. The previous session formed a hammer candle, with the open and low both near ₹227. This was followed by a positive session, indicating buying interest around the support zone. My view is that the ₹227 to ₹222 area is important for the current setup. The stock is also developing a cup-and-handle pattern, which can provide a bullish structure if the price sustains above the pattern's resistance. Momentum is supportive. RSI is around 56 and remains above the 50 mark. MACD is also in positive territory. These indicators suggest that momentum has improved, although confirmation from price action remains important.