After testing resistance at Rs 720, the stock slipped and appears to have resumed its short-term downtrend. For the week, the stock fell 1.2 per cent and has confined its trading between Rs 671 and Rs 720.

The stock's daily indicators have entered the bearish zone from the neutral territory implying downward momentum. Traders with short-term perspective can initiate fresh short positions if the stock breaches its lower boundary at Rs 671 with stop-loss at the same level. Downside targets are Rs 650 and Rs 642. However, the inability to breach the aforesaid support will confine the stock to trading between Rs 671 and Rs 720 for a while. Key resistances are positioned at Rs 706 and Rs 720. Important resistance above Rs 720 are at Rs 733 and Rs 755. The stock will remain in a medium-term downtrend as long as it hovers below Rs 790.

Infosys (Rs 2,387.8)

The stock was volatile in the previous week and gave away most of its intra-week gains by declining 2 per cent on Friday. Since mid-April, the stock has been moving sideways in a broad band between Rs 2,305 and Rs 2,500. As the stock can decline and test its lower boundary in the following week, traders with short-term perspective should tread with caution.

A clear breakthrough in either direction of the sideways consolidation range will determine the stock's medium-term trend. Downward breach will pull the stock down to Rs 2,270 or to Rs 2,200. Conversely, strong jump above Rs 2,500 can push the stock higher to Rs 2,600.

State Bank of India (Rs 2,026.2)

Following a strong rally on Monday, the stock lost ground encountering resistance at Rs 2,130. Forgoing most of its intra-week gains, the stock is pausing just above key support at Rs 2,000. A strong tumble below this level will be the cue for initiating fresh short positions with stop-loss at same level. Targets are Rs 1,973 and Rs 1,937.

Significant supports below Rs 1,937 are at Rs 1,900 and Rs 1,820 and Rs 1,850 range. Breach of Rs 1,820 will strengthen the stock's medium-term downtrend and pave the way for a decline to Rs 1,776 and then to Rs 1,715.

Short-term resistances are pegged at Rs 2,080 and Rs 2,130. An upward breakthrough of Rs 2,130 will alter the stock's medium-term downtrend and push it northwards to Rs 2,220.

Tata Steel (Rs 398)

Tata Steel fell 2.5 per cent with low volumes in the previous week. The stock is hovering well below its 50- and 200-day moving averages. Its daily indicators have re-entered the bearish zone from the neutral region. Weekly indicators are featuring in the negative territory. The stock is hovering just above a key support at Rs 390. A slump below this support will be the cue for initiating fresh short position with stop-loss at Rs 390. In that case, the stock can decline to Rs 374 and to Rs 362 in the short-term. Key resistance for the stock is at Rs 420. Only a conclusive move above Rs 420 will accelerate the stock higher to Rs 440 and Rs 450.

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