Daily Discussion, page-8295

Will RDN succumb to macro?

.

From a weekly perspective, a drop from 3 to 2.6. A high of 3.2 and a low of 2.5. After a strong start to the week, finally accepting what is happening in Li macro. Which is not great. As of now.

.

So what is happening? Last week I thought RDN is playing its own game. I had also said that it may play macro. It didn't happen last week, it played its own game. But this week, the individual touch it had, it lost it. Its now part of the herd. Li herd. which is not going great guns. So after nearly 50% rise, its now trying to hold its current level. So its obvious now, that for 2 days a push towards 3.4 was more of trader play, than backed by any fundamentals. And as is obvious, due to that reason, it was not sustainable. And now its going back to its usual play - Li macro. Played weak this week.

.
Personally no play for me. I was very hesitant to play a Li stock at this stage. was waiting for Li macro to change. So still waiting.

.

So what may happen next week? Last week I asked - "I think the question on every one's (and even my mind) is - "will RDN play the Li macro or will it carve its own path?". This week it said, no I am same as many other Li stocks. Maybe after I drill I could be different. But till then I may go up, but then will then join the herd. That's my interpretation, I could be wrong, so please dyor. Its still playing stronger than many other Li stocks I track. Only because of the holding. Its a two-edged sword. It hasn't proven anything - weakness, but holds a very good land - strength. My feel is that if Li sector is weak, it may play towards weakness. But if Li sector is strong, it may play with strength. At least that will my play, I could be completely wrong though. I will wait for confirmation. I didn't pick the bottom at 2, nor top at 3.4 - so I am still guessing here. But I feel, the strength of RDN is gone, temporarily. Will it come back next week? Lets hope so. Enjoy your weekend and all the best.