As can be seen from the weekly chart of Arvind
, momentum in the stock has turned lower and entered into negative territory. It is often a warning sign that stock might change it's current trend. The logic behind this idea is to trade against the trend when it gets old and momentum starts weakening. In my last article i mentioned similar logic on metal index, and CNX
metal since has witnessed sharp price correction. Going with the similar pattern I think Arvind
will also face sharp price correction from here.