The stock has been in a downtrend since mid-April this year. The price has tumbled over 30 per cent from the April high of ₹440.75. Within this downtrend, it has been consolidating sideways over the last few weeks. The price action indicates that consolidation is facing strong resistance at ₹325. This level will continue to cap the upside. Any bounce will see fresh sellers coming into the market around ₹325 levels. As such the downtrend will remain intact and is more likely to resume in the coming days. We can expect a fresh fall targeting ₹270 and even ₹255-₹250 in the next few weeks.

Traders can go short at current levels. Accumulate shorts on a rise at ₹320. Keep the stop-loss at ₹332. Trail the stop-loss down to ₹297 as soon as the stock falls to ₹288. Move the stop-loss further down to ₹282 as soon as the stock touches ₹277 on the downside. Book profits at ₹272. The downside pressue will ease only if the stock breaks above ₹325 decisively and sustains well above it. It will also give a sign of a reversal. But such an upmove looks less probable at the moment.

(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)

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