Comments
The outlook for the stock of Radico Khaitan is bearish. The stock had tumbled over 4 per cent on Monday and has closed on a weak note. The sharp fall on Monday has dragged the stock well below the key ₹400-380 support cluster. There is also a head and shoulder reversal pattern visible on the chart. This is a bearish pattern indicating a reversal in the upmove. The neckline resistance of this pattern poised around ₹390 is likely to cap the upside in the near term. Intermediate bounce to this hurdle is likely to find fresh sellers coming into the market.
A fall to ₹330 and ₹320 is likely in the near term. A break below ₹320 will then increase the likelihood of the fall extending to ₹300 or even lower levels thereafter. Traders can go short at current levels and also on rallies at ₹380. Stop-loss can be placed at ₹405 for a target of ₹300.
(Note: The recommendations are based on technical analysis. There is a risk of loss in trading.)
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.