Hindalco and Sterlite Industries are looking weak, says Sudarshan Sukhani, s2analytics.com.
Sukhani told CNBC-TV18, “Sesa Goa is the classic example, it was breaking out and my sense was that it is moving up. The fact that the breakout was a failure is usually a significant trend on the other side that is on the downside. Hindalco and Sterlite were already weak and the chances are that that weakness is continuing. I must point out that we are probably in choppy conditions rather than a confirm downtrend. The confirmation will come only if we start breaking 4800.”
He further added, “The charts of L&T and SBI look cheerful. They are falling today that’s a different matter but I think SBI (State Bank of India) is probably making an attempt to build some kind of a base with support around Rs 1800 but from here to Rs 1800 is a long journey so that can cause a lot of pain.”
“The ones that were moving in the last two days have all become prime candidates for shorting. ICICI Bank then we have Reliance which I am assuming is going to slide again, ONGC and BHEL inspite of the fact that it’s reporting tomorrow.”