In line with trend reversal in benchmark in 2009, Crompton greaves had also witnessed vertical surge roughly from 50 levels & touched 320 by Dec, 2010.
It underwent in a consolidation around the high but a distribution pattern emerged as the time progressed. And, it confirmation the negative formation with breakdown in July, 2011 and slipped back to 70 level in a year.
It spent nearly a year forming a rounding bottom reversal pattern while trading between 80-125 zone. And, witnessed an upside breakout from the same in March, 2014 and retested 220 level.
For last three months, it has been trading in a broader consolidation range while maintaining the positive bias , indicating accumulation. So, one can utilize this opportunity to accumulate between 196-CMP (202.55) with closing below stop loss of 185 for the target of 242.