As stock prices continue to move down due to repeated shocks, it becomes quite difficult to pick up a good buy. One such good buy for long term at current levels is Mahindra & Mahindra.On the monthly charts, the scrip is reverting back to the shoulder of a head and shoulder pattern. The scrip has come back to the level of Rs 202, which it was quoting in August-December 1995. The scrip has never been below this price since then. Since June 2, the scrip has been testing the level of Rs 202. This is an indicator for the scrips valuation.
One of the long term investment indicators has given a buy signal. One can make a small investment in the next few days. Try to buy it at Rs 197 if you can. There is an outside chance that the scrip could move down to Rs 165.
But one can add some more at that price to one's portfolio, if that happens.
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