Positional Trade Setup for TBZ:

9月4日

The chart displays a clear basing pattern, resembling a "Cup" formation that has developed over a decade. This pattern typically signifies accumulation and a potential long-term breakout.
The stock has recently broken out of a 10-year resistance level around the 220-225 INR mark, confirming a strong bullish sentiment.
Volume Confirmation:

There is a notable volume buildup as the stock approached and broke above the resistance level, indicating strong buying interest and conviction behind the breakout.
Entry Point:

A good entry point would be on a retest of the breakout level, around 220-225 INR, or a confirmation of continuation above the current price level (237.91 INR).
It's ideal to wait for a slight pullback or consolidation near the breakout zone to reduce risk.
Stop Loss:

A suitable stop loss would be below the breakout level, around 200 INR, ensuring that the stop is placed below the basing pattern and the recent breakout level. This provides a buffer against potential false breakouts.
Target:

The first target could be set at around 300 INR, which is a round number and psychological level, followed by a longer-term target around 350-375 INR, based on the measured move from the cup pattern depth.
Risk-Reward:

Ensure a favorable risk-reward ratio of at least 1:2 or higher. With the entry near 225 INR and a stop loss at 200 INR, a target around 300 INR gives a risk-reward ratio of 1:3, which is attractive for positional trading.
Additional Considerations:

Monitor the volume on pullbacks to ensure they are on declining volume, indicating that the pullback is a buying opportunity rather than a trend reversal.
Keep an eye on broader market conditions as they could impact the stock’s performance.
Summary: TBZ has broken out of a significant multi-year resistance level with strong volume support, indicating a bullish setup. Entering on pullbacks with a well-defined stop loss and target can provide a strong positional trade opportunity.