On the daily charts, Bharti Airtel has given a close well below its critical support levels of Rs616 for a second session in a row. Moreover, the stock has broken below its 13-day moving average.
We expect the weakness to continue in the near term with daily RSI also showing a downward trend. Yesterday’s fall was accompanied with heavy volumes, indicating delivery based selling by the investors.
The stock can test the levels of Rs580 and below in the near term. Based on above technical evidences, we recommend traders to SELL the scrip between the levels of Rs600-605 with an initial target of Rs580. It is advisable to maintain a stop loss of Rs612.