India, April 22 -- This pattern suggests that selling pressure is easing while buying interest is gradually strengthening. An inverted head-and-shoulders pattern consists of three troughs, with the middle one forming the lowest point (head) and the two outer troughs forming higher lows (shoulders). A breakout above the neckline typically signals a bullish reversal.

On Tuesday, Elecon Engineering Company Limited broke above the neckline of this pattern on the 4-hour chart. Sustaining above Rs 447 may lead to further upside, while slipping below this level could weaken the bullish bias.

Targets are generally set near resistance levels or by projecting the height from the head to the neckline upward. Traders often trail profits while monit...