The market-wide correction has seen the stock correcting to a low of Rs183 in July 2008. Thereafter, it rallied to a high of Rs317 in September 2008.
The daily MACD is exhibiting negative divergences along with a crossover sell signal. This suggests that the trend is weakening. A break below Rs260 levels will see the stock correcting for potential target of Rs230 and Rs210 levels.
The stock has been consistently closing below its short and near term averages for the past few sessions, which suggest that the stock is set to break below the Rs260 support levels.
Keeping in mind the above-mentioned technical evidences, we recommend traders to SELL the stock at current levels and on rallies to resistance of Rs276-280 levels for target of Rs210. A stoploss above Rs286.5 is recommended on all short positions.