Kulkarni bearish on GMR Infra; stock can move sideways

Shardul Kulkarni of Angel Broking is of the view that, GMR Infrastructure's candlestick pattern is clearly showing a very strong bearish engulfing. The stock can move sideways and the bias would be negative.

Kulkarni told CNBC-TV18, "In case of GMR Infrastructure my view is a little negative because overall if we see the weekly chart structure very strong lower top, lower bottom cycle. Unfortunately the stock could never take out that resistance on the upside which was at Rs 24-25. I was expecting that Rs 20 would be a good strong support but that has not panned out and the weekly chart clearly tells us that stock has made lower lows." He further added, "The Stock has hit the new 52 week low over the past few trading sessions when the market hit a new 52 week high. So, that clearly tells you that from a trading perspective these are the ones wherein one should be looking at. Trading opportunities can be there but right now if I see the candlestick pattern for today's trading session the stock is clearly showing a very strong bearish engulfing and subsequently in a lower top, lower bottom. I feel that the stock can move sideways and the bias would be negative in case of GMR specifically." "In case of Lanco Infratech I think that the stock - again similar moves are there in case of Lanco but the chart structure is a little better than that of GMR. I think going forward in case of Lanco one may see a little range bound activity. Rs 14.6-14.7 that is the range on the upside wherein we have resistance, support comes in around Rs 13.4." Disclosure: We may have positions in both stocks.