📈 PEL | Piramal Enterprises Ltd
Multi-month base | VCP traits | Breakout on volume watch
🔍 Technical Highlights:
Volume spurt: 5x relative to recent sessions – clear institutional interest 🧠
Bullish engulfing candle on 7 May 2025, signaling a strong reversal attempt
Closed above 200 DMA, trading above 50 DMA, and just above 30 WMA – early signs of trend re-alignment
Price is forming a VCP-like structure within a Stage 1 base
Breakout is aligning with a Higher High–Higher Low (HH–HL) structure
Took support at a rising trendline that’s been respected since April 2023
⚠️ Key Risk Considerations:
Fundamentals are weak – poor ROE & ROCE, and RSI is unimpressive
Broader market is not supportive — Nifty 500 is still below 200 DMA
This may be an early breakout attempt — confirmation is everything
No clean follow-up yet post breakout day – wait for continuation
🧭 Why Watch This?
Despite fundamental weaknesses, technicals are improving rapidly:
Volume is stepping up
Price is testing long-term moving averages
Structure is getting tighter (VCP traits visible)
A clean breakout and follow-through above ₹1,075–₹1,140 could unlock Stage 2 potential
🎯 Trade Levels:
Entry: Above ₹1,075.6 (confirmation required)
SL (Closing Basis): ₹895.2
Positional Target 1: ₹1,276
Positional Target 2: ₹1,658
ATH Review Zone: ₹1,761
💰 Risk–Reward
Risk = ₹1,075.6 – ₹895.2 = ₹180.4
Reward to T1 = ₹1,276 – ₹1,075.6 = ₹200.4 → R:R = 1 : 1.11
Reward to T2 = ₹1,658 – ₹1,075.6 = ₹582.4 → R:R = 1 : 3.23
🛡️ Trader's Note
Position sizing is not optional — it's your only protection.
This is a setup driven by volume, structure, and levels — not by fundamentals.
If this breakout holds, momentum traders may pile in — but don’t front-run it blindly.
📌 Quarterly results are around the corner — trade with caution as earnings volatility can invalidate technicals.
📌 If price reaches ATH, review for new risk-reward alignment and partial booking.
📜 Disclaimer: This is a technical perspective, not investment advice. For educational purposes only. Trade safe, trade smart.
Multi-month base | VCP traits | Breakout on volume watch
🔍 Technical Highlights:
Volume spurt: 5x relative to recent sessions – clear institutional interest 🧠
Bullish engulfing candle on 7 May 2025, signaling a strong reversal attempt
Closed above 200 DMA, trading above 50 DMA, and just above 30 WMA – early signs of trend re-alignment
Price is forming a VCP-like structure within a Stage 1 base
Breakout is aligning with a Higher High–Higher Low (HH–HL) structure
Took support at a rising trendline that’s been respected since April 2023
⚠️ Key Risk Considerations:
Fundamentals are weak – poor ROE & ROCE, and RSI is unimpressive
Broader market is not supportive — Nifty 500 is still below 200 DMA
This may be an early breakout attempt — confirmation is everything
No clean follow-up yet post breakout day – wait for continuation
🧭 Why Watch This?
Despite fundamental weaknesses, technicals are improving rapidly:
Volume is stepping up
Price is testing long-term moving averages
Structure is getting tighter (VCP traits visible)
A clean breakout and follow-through above ₹1,075–₹1,140 could unlock Stage 2 potential
🎯 Trade Levels:
Entry: Above ₹1,075.6 (confirmation required)
SL (Closing Basis): ₹895.2
Positional Target 1: ₹1,276
Positional Target 2: ₹1,658
ATH Review Zone: ₹1,761
💰 Risk–Reward
Risk = ₹1,075.6 – ₹895.2 = ₹180.4
Reward to T1 = ₹1,276 – ₹1,075.6 = ₹200.4 → R:R = 1 : 1.11
Reward to T2 = ₹1,658 – ₹1,075.6 = ₹582.4 → R:R = 1 : 3.23
🛡️ Trader's Note
Position sizing is not optional — it's your only protection.
This is a setup driven by volume, structure, and levels — not by fundamentals.
If this breakout holds, momentum traders may pile in — but don’t front-run it blindly.
📌 Quarterly results are around the corner — trade with caution as earnings volatility can invalidate technicals.
📌 If price reaches ATH, review for new risk-reward alignment and partial booking.
📜 Disclaimer: This is a technical perspective, not investment advice. For educational purposes only. Trade safe, trade smart.
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Disclaimer
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Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.