Bullish breakouts in these 3 financial stocks
The Nifty50 has hit a 52-week high of 26,104, making the Diwali brighter, and is a couple of per cent away from its all-time high. The Bank Nifty has hit an all-time high of 58,577. The two backbones of the financial market, banks and NBFCs are witnessing a strong bullish momentum.
The Nifty Finserv-ExBank has shown remarkable performance, gaining 24% so far in 2025. In this article, we are focusing on three financial powerhouses capturing investor attention and outpacing other sectors: Bajaj Finance, Shriram Finance, and Cholamandalam Investment & Finance.
#1 Bajaj Finance: Broadening Pattern Signals Volatility Breakout?
On the daily chart of Bajaj Finance, the price is consolidating in a Broadening triangle, a bullish breakout pattern with higher highs and higher lows.
The broadening triangle pattern consists of diverging trendlines, one sloping upward and the other downward, marking the higher highs and lower lows. It often appears after a strong move, when traders become uncertain and volatility rises.
In December 2024, Bajaj Finance had a powerful rally, taking the stock from Rs. 640 to Rs. 850. After the rally, it consolidated in a range for the next 6 months, then broke out and went on to hit new highs. It indicates a shift in momentum and a potential move towards the Rs. 1,300 mark.
#2 Shriram Finance: Classic Cup-and-Handle Targets New Highs?
Shriram Finance is a major Indian NBFC (non-banking financial company) with a customer base of over 1 million. With AUM of Rs. 272,249 crore and a whopping growth of 16% year on year.
On the weekly chart of Shriram Finance, the stock is forming a Cup-and-Handle pattern, with a convincing 52-week high breakout.
After reaching the resistance near the cup’s rim, the stock moves sideways or slightly down, forming the handle. This short pullback allows the market to gather strength before the breakout.
A powerful rally from May 2023 that took the stock from Rs. 283 to Rs. 717 by mid-2024, followed by a breakout in October 2025 to hit an all-time high of Rs. 730.
The potential dip to retest the pattern or the key psychological support level of Rs. 700 can be an opportunity for bulls.
#3 Cholamandalam Finance: Another Cup-and-Handle Breakout Play?
Cholamandalam Finance is a major NBFC (non-banking financial company) which has been operating for a few decades.
The weekly chart of CHOLAFIN shows a long-term bullish pattern called a Cup and Handle.
The U-shape Cup formation between September 2024 and May 2025 was followed by the handle, indicating the bulls are getting stronger, and it was a matter of momentum for the bulls to break the neckline at Rs. 1,680.
The bulls finally pushed the price above the neckline, indicating the potential to hit a new milestone of Rs. 2,000, as the stock has entered uncharted territory —a no-resistance zone.
The bulls can take advantage of the potential opportunity, as the stock may rally faster in the coming weeks and months.
Note: The purpose of this article is only to share interesting charts, data points and thought-provoking opinions. It is NOT a recommendation. If you wish to consider an investment, you are strongly advised to consult your advisor. This article is strictly for educative purposes only.
Brijesh Bhatia is an Independent Research Analyst and is engaged in offering research and recommendation services with SEBI RA Number – INH000022075. He has two decades of experience in India’s financial markets as a trader and technical analyst.
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