Short DLF, may slip to Rs 196: Bothra

Kunal Bothra, Sr Technical Analyst at LKP is of the view that, DLF is forming a bearish formation, so one can look at shorting opportunity in the stock for a target of Rs 196 with a strict stoploss of Rs 204.

Bothra told CNBC-TV18, "Couple of stocks which are showing some bearish formation but I would wait for a confirmation of a breakdown and something which catches my eye is Tata Power. A couple of days back it was forming an inverse head and shoulder with a neckline of Rs 100-102 but we saw a false breakout there, Rs 102 which got broken for couple of days, intraday and then came back below Rs 100. Now the Rs 97 level should be watched for Tata Power. If that gets broken then one might see a significant downside from here. By significant I mean levels of close to Rs 88-87 can also be achieved on Tata Power." He further added, "On the shorting side from a very short-term perspective something like DLF also catches the eye. It is forming a bearish formation over here and anything below Rs 202, keeping a tight stop loss of Rs 204 one can look at shorting opportunity over here with a target of Rs 196." Disclosure: No personal holdings in any of the stocks but at LKP we keep recommending these stocks to our clients.