Why Is Punjab National Bank Showing a Powerful Breakout on Weekly Charts?
About Punjab National Bank:
Punjab National Bank (PNB), one of India’s largest public sector lenders, is witnessing an impressive technical setup on the weekly charts. After months of base formation, the stock is displaying a breakout pattern that suggests significant upside potential in the medium term.
What the Chart Patterns Indicate
PNB has been consolidating within a narrow range for several weeks, building a strong base between ₹105–₹115 levels. A visible breakout is emerging on the weekly timeframe, supported by improving volumes and momentum indicators.
Key Technical Levels to Watch
🔹 Support Zone: ₹105 – a crucial level. Stock turns weak only if it sustains below this.
🔹 Immediate Resistance: ₹122 – once crossed, it can trigger strong upside momentum.
🔹 Next Targets: ₹130 and ₹145 (medium term).
Momentum Indicators Support the Breakout
Technical indicators such as RSI and MACD are trending positively on weekly charts, confirming renewed buying interest. RSI remains above 60, indicating sustained strength. The stock has also moved above its 50-week moving average, adding confidence to the bullish setup.
Sector and Broader Market Context
PSU banking stocks have been outperforming the broader market, aided by strong credit growth, stable NIMs, and lower NPAs. PNB stands to benefit from these tailwinds as well as improved investor sentiment in the PSU basket.
For those closely tracking PSU banks, this consolidation breakout in PNB could be a significant technical event.
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Investor Takeaway
As long as PNB stays above ₹105, the stock maintains a bullish bias. A breakout above ₹122 could accelerate gains. Investors may track the stock for positional opportunities over the coming months. Read more expert insights and technical setups at Indian-Share-Tips.com, which is a SEBI Registered Advisory Services.
SEBI Disclaimer: The information provided in this post is for informational purposes only and should not be construed as investment advice. Readers must perform their own due diligence and consult a registered investment advisor before making any investment decisions. The views expressed are general in nature and may not suit individual investment objectives or financial situations.
