The outlook for the stock of Delta Corp is bearish. The stock had declined sharply by 4.75 per cent on Wednesday. This has dragged Delta Corp well below the key support levels of ₹218 and ₹214 – the 100-Day Moving Average (MA). The close below the 100-Day MA strengthens the bearish case for seeing more fall from here. The levels of ₹214 and ₹218 will now act as a strong resistance and cap the upside. Delta Corp can fall to ₹190-185 over the next couple of weeks. Traders can go short at the current levels. Accumulate shorts at ₹213. Keep a stop-loss at ₹222. Trail the stop-loss down to ₹206 as soon as the stock falls to ₹201. Move the stop-loss lower to ₹198 when Delta Corp declines to ₹194. Exit the short positions at ₹190.
Note: The recommendations are based on technical analysis. There is risk of loss in trading