Time to exit from Colgate Palmolive

Deepak Singh Tanwar

MUMBAI, Oct 6: With the latest fall to Rs 174, the share price of Colgate Palmolive has broken the crucial level of Rs 185 and has entered a new bear orbit. The fall has been with high volumes and suggest that the trend will continue. The long-term support which was at Rs 215 had already broken few weeks ago. A fall below these two important levels is nothing but a strong pointer towards the long-term bearishness of the stock. Another major support level is very far from the current level.

The oscillators have also favoured the negative trend. Both, weekly as well as daily RSI have touched a new low -- confirming the strength of the falling trend. The moving averages are continue to be in negative phase.

As such, while all the factors are pointing towards a bleak outlook, investors are well advised to offload their position now and on every minor rally.

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