Bajaj Finance's Next Move: Can the Bulls Charge Higher?

https://preview.redd.it/dpulql3hgyae1.jpg?width=1920&format=pjpg&auto=webp&s=735645b7b72bd540275d7e1b0dd1a0264404dc3c Bajaj Finance experienced a strong bull run from June 2020 to August 2021, followed by sideways movement with consistent support along a trendline. Recently, it formed an inverted head-and-shoulders pattern on the trendline and broke out, gaining 6.5%. The stock is trading above the 20 SMA and 40 EMA on daily and weekly timeframes, with the RMI (Rohit Momentum Indicator) signaling a buy on both. For now, the stock is looking positive. Open Interest (OI) is near record highs, indicating significant short built-up. Despite this, the stock has consistently formed higher lows, suggesting a triangle pattern with boundaries at ₹8000 and ₹6,520. Historically, such setups have led to sharp rallies if the stock breaks out on the upside. Conversely, a breakdown could lead to fresh OI highs and downward pressure.