Sun TV risks a double top

 Indian Market/Stocks  Comments Off on Sun TV risks a double top
Oct 082010

Sun TV - Daily Chart

The daily chart of Sun TV (above) shows the possibility of a double top formation. However, it does not mean the stock will not cross 547-550 resistance, but the odds are against it. The double top potential would be realised only below 461. Once the stock starts trading below first support of 489 weakness is likely to set in. Hence, a prudent trader should wait for weakness to set in before attempting to short this stock.