In this week’s Chart Spotting, we turn our focus to UNIONBANK, a stock that has caught attention both on the charts and in the news flow. The banking sector has been active globally, and UNIONBANK recently gained recognition in industry circles for its role in wealth management and transaction banking, a positive development that further strengthens the narrative around the counter. Such achievements often act as a sentiment booster for investors and can align well with strong technical undercurrents visible on the chart.

The technical picture for UNIONBANK looks particularly constructive at this juncture. After years of consolidation, the stock has managed to break above a 15-year-old trend line that had been acting as a stiff resistance. Following the principle of polarity, this resistance has now turned into support, signaling a structural shift in trend. What adds more conviction is the emergence of a classic cup and handle pattern, confirmed with a breakout on significant volumes, a hallmark of strong institutional participation. This pattern is often considered a reliable sign of a sustained bullish move. The breakout zone near 166 is now a key level, and while the stock is currently consolidating below it, the broader setup indicates the potential for a strong up-move.

Targets from the pattern projection suggest a swing potential around 227 and an ultimate zone closer to 307, levels that would represent a significant re-rating if achieved. With the long-term trend line now behind, the stock appears to have entered a fresh bullish phase.

UNIONBANK offers a compelling combination of improving business visibility in the news and powerful technical signals on the chart. Traders and investors alike may find this setup attractive, as the stock appears poised for an extended uptrend in the weeks and months ahead.