The scrip has a reasonable potential to hold ground on its own at around Rs 160. Ofcourse, corporate developments do impact the scrip, but there is no denying the fact that for all the fund managers, this is the best communication scrip available on the Indian bourses.

The technical formation from Rs 152 is very interesting and indicates the potential for a quic bounce back, a la HPCL. The daily stochastic indicator has signalled a buy.

In the short term the price recovery will depend upon immediate developments in the political arena. But for long term investors MTNL is a good target. Pick it up slowly and add to average out your price, providing for futher fall.