Short Ranbaxy Laboratories: Vishal Kshatriya

Short Ranbaxy Laboratories with a target price of Rs 495, says Vishal Kshatriya, Edelweiss

Kshatriya told CNBC-TV18, "Ranbaxy Laboratories has been consolidated in a narrow range of Rs 550 and Rs 530. So it has formed a kind of a small channel with a very narrow channel on daily chart. Yesterday stock has broken down its particular channel on a daily chart along with good volumes. Besides this, this breakout is being further accompanied by fresh shorts build up which is suggested by open interest data." He further added, "Open Interest in a counter was almost up by 7-8%with a negative breakout. This indicates that the stock is likely to trade with negative bias in coming days. I would be going short on Ranbaxy with a target price of Rs 495." Click HERE to follow their score card