Infra stocks have not performed in the current market rally. Projects worth 20,000 crore would start reflecting on the company’s balance sheet starting next year. The company has 25 projects worth Rs. 40,000 crore.The stock is trading below the 200 day moving average and is in a strong downtrend. The stock has strong resistance at 850-860 levels.

The sector has been battered down. The RBI has been aggressive on the interest rate front and that has hit the realty sector hard. Property sales are sluggish in tier 1 and 2 cities. The company has been hit hard on the operational front as affordable housing has lower margin. The company has high debt levels.The stock is clocking lower tops and bottoms on the charts. The realty sector is in a downturn. The stock can fall to 250-235 levels if it goes below 275 levels.

The company is an established manufacturer of ships and has a 15,000 crore order book. An upward tick in demand is expected with global economic recovery. The intermediate daily trend is down and the charts are showing a lower top and bottom formation. Below 365 the stock can go to 350-340 levels.