On the weekly chart, the stock has been forming the pattern of lower high and lower lows since January 2008. The downtrend is likely to continue in the near term.
Weekly charts suggest that the price movement has occurred in a well-defined Channel formation. Thursday’s closing price is hovering close to the lower descending trendline of the channel.
The share price has consistently closed below its key moving averages. The weekly RSI as well as the MACD continue to depict negative trend.
We recommend traders to SELL the stock at current levels and on rallies to levels of Rs285 for target of Rs255 and Rs250. A stop loss of Rs295 is recommended on all trading short positions.