Stock of Arvind mills has corrected sharply by over 40% in last two months forming downward trading channel. Stock is now trading near its support (as shown in the chart by green arrows) and may bounce back if it sustains above the support. Stock if breaks upper trend line of the channel after taking support may become bullish but in the short term it may bounce back as it looks oversold.
Stock can be bought at CMP or in every fall above 72.5 for the short term target of 85.
Stop loss at 72 recommended.
CMP - 76.05
