ONGC may slip to Rs 700: Thacker

Excerpts from Bazaar on CNBC-TV18 Watch the full show » RELATED NEWS ONGC recovers sharply ONGC plans to increase acquisition programme ALSO READ See previous views by Mitesh Thacker See what other Experts & Brokerages are saying about ONGC See messages about ONGC ONGC BSE | NSE 13/02/12 Are Mutual Funds betting on ONGC?

Technical Analyst, Mitesh Thacker is of the view that ONGC would be a good shorting candidate in the range of around Rs 820 to 835. Probably from there we can see a stock coming back to the Friday's low of Rs 770 and probably head towards Rs 700 mark.

Thacker told CNBC-TV18, "ONGC is one stock wherein we have seen a good bearish formation taking place on the charts; on the weekly charts it has formed a head and shoulders formation. I think probably what we will see in today and probably in the next few days a pullback to those neckline levels, which is an important technical breakdown, which is there on the charts. So I think it would be a good shorting candidate in the range of around Rs 820 to 835. Probably from there we can see a stock coming back to the Friday's low of Rs 770 and probably head towards Rs 700 mark."

He further added, " Reliance also has been very weak in fact it has been underperforming the markets now from an outperforming stock. So I think that is a stock, which faces lot of supply in the area of Rs 1,420-1,460 levels and from there the entire rally could again fizzle out and we could see newer lows."