Carrier Aircon has moved down from Rs 226 to Rs 206. It has closed at Rs 207. The daily stochastic indicator has cut upwards of its trigger line in the oversold region, signalling a buy.On the downside, you have a risk uptil Rs 200, as seen in the weekly charts. This is where you can place a stop loss. On the other hand considering the steep fall from Rs 254, it would be appropriate to go long in this scrip now. In the short run one can expect the scrip to move up to Rs 217. It has the potential to retrace its path to Rs 240.
The company is a predominant player in airconditioners. Consumer durables have rather a more assured prospects than many other product groups. Carrier Aircon has earlier been the favourite of even FIIs. The fervour might return, given the depressed price.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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