The stock of Bajaj Consumer Care has been in a strong long-term downtrend since 2018 from about the price level of ₹520. Within this downtrend, the stock saw a corrective rally to ₹320 after taking support at ₹118 in March 2020. But since July last year, the stock has been on a decline again thereby indicating that the broader downtrend is intact. From the current level of around ₹173, the stock has potential to see a further fall towards ₹125 over the medium-term.

However, before we see the fall to ₹125 mentioned above, the possibility of seeing a corrective rally to ₹190 cannot be ruled out. But a rise beyond ₹190 is less likely as fresh sellers are likely to come in at higher levels and cap the upside. Given these factors, one can sell the stock at current levels and accumulate shorts positions if price goes up to ₹190. Stop-loss can be at ₹208. When the price slips below ₹150, bring down the stop-loss to ₹170. Fully exit the short positions at ₹125. The level of ₹125 is a good support and there can be fresh bounce back rally from there.

(Note: The recommendations are based on technical analysis. There is risk of loss in trading.)