Sell MRPL December future; target Rs 54.50: IIFL

"MRPL, on Tuesday’s daily candlestick, Counter Attack Bull pattern was seen. This pattern consists of two candlesticks, Monday’s candlestick is black, the second white (Tuesday’s candlestick). The second candlestick opened sharply lower but closed unchanged from the Monday’s session, suggesting that buyers and sellers are at an altercation point. However, on Wednesday, the stock violated Tuesday’s low (Rs 60), failing to finish into the positive zone. It is an arresting candle which has negated Tuesday’s move. From the change of polarity principle, a support once broken correspondingly turns into major resistance and we expect the stock to resume its downward trend. Based on above mentioned observations, we recommend traders to sell MRPL December Futures below Rs 59.50 with stop loss of Rs 62 for target of 54.50. (Duration 4 days)," says IIFL research report.

Public holding more than 90% in Indian cos

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.