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TKO Group's Next Rally Starts With A Pullback
TKO TKO (US:TKO) Benzingaยท2025-08-20 17:05

Core Insights - TKO Group is approaching a pivotal moment in its Adhishthana cycle, currently in Phase 17 out of 18, indicating potential for strong bullish momentum ahead [1][10] - A Nirvana move is likely in the next phase, but short-term indicators suggest a probable pullback before the larger rally begins [1][10] Adhishthana Cycle Analysis - Phases 14, 15, and 16 form the Guna Triads, crucial for determining if TKO can achieve Nirvana in Phase 18, which is the peak of the cycle [4] - Both Phase 14 and Phase 15 exhibited clear bullish strength, suggesting that conditions will be favorable for a Nirvana rally starting in January 2026 when Phase 18 begins [5] Short-Term Outlook - The monthly chart indicates near-term weakness, with TKO currently in Phase 8, which typically forms an arc-like structure that is bullish, leading to a breakout in Phase 9 [6] - TKO is trading above its breakout level but within Phase 8, which historically leads to unsustainable breakouts, likely pushing the stock back into its Cakra range [8] Investor Considerations - The long-term outlook for TKO Group remains bullish with a high probability of a Nirvana move in Phase 18, but the premature breakout suggests a near-term pullback is expected [10] - Existing investors should prepare for potential downside before the larger rally resumes, while new investors may find a pullback an attractive entry point ahead of the Nirvana phase [13]