The stock had been moving in a narrow range between the Rs181-149 range since October–end 2008 till date.
On Thursday, it fell towards the lower end of this trading range. A fall below Rs149 could see the stock collapsing towards the levels of Rs138 and below in next few trading sessions.
The stock is in a downtrend, given the succession of lower tops it has formed. The daily MACD is in continued sell mode, whereas the daily RSI has generated a crossover sell signal indicating the weakness in the trend.
We recommend traders to SELL the stock up to the levels of Rs158 for an initial target of Rs162. It is advisable to maintain a stop loss of Rs158 on all the short positions.