Stock has been the best out-performer in F&O stocks, as its has given more than 90% return in last 3 months. But as the monthly chart suggest me stock is near the trend line resistance which is around 1290 – 1300 region. So some selling in this stock is expected in the near term, also stock has shot up very sharply so some profit booking in form of selling will soon be seen.
My trading recommendation: Short sell MCDOWELL-N at 1300 level for a positional target as 1200 and 1135 level, stop loss will be based on weekly candle closing above 1340 only. Be careful as trend in this stock is strongly up and we are trading against the trend so extra care must be taken. Article published on 1 October 2012.
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