The chart represents a technical analysis of Prakash Industries Ltd. on a weekly time frame from the NSE (National Stock Exchange of India). Here are the key takeaways from the analysis:
Elliott Wave Analysis
The chart follows Elliott Wave Theory, with waves 1 to 5 labeled.
The stock appears to be in Wave 4 consolidation, preparing for a potential Wave 5 rally.
Cup and Handle Formation
A large cup and handle pattern is visible, suggesting a bullish breakout potential.
Fibonacci Retracement Levels
The 0.5 Fibonacci retracement level (142.29) is a key support area.
The stock is consolidating around this zone, potentially forming a base.
Resistance & Support Levels
Resistance: Around 183.84 (red line) and 239.90 (previous high).
Support: Around 140.00, which aligns with Elliott Wave Wave 4 bottom.
Target Projection
If the stock follows Elliott Wave principles, the next target is around 329.15 (marked in green).
This suggests a potential bullish move, provided it breaks key resistance levels.
Summary:
Current Status: Consolidating within a range.
Trend: Bullish outlook if it holds support and breaks resistance.
Key Watch Levels: 140 as support, 183.84 as resistance, 329.15 as a target.
Risk: If the price breaks below 140, the bullish setup might weaken.