Go long on Allahabad Bank, UCO Bank, Canara Bank: Sukhani

Sukhani told CNBC-TV18, “I am long on the Bank Nifty. At current levels there is a buying opportunity at 10000 which is roughly where the bank Nifty is. Remember this have been outperforming inspite of the fact that it was an underperformer in the first two days.”

He further added, “The banks have an under current of support which we can't see now but which we will and the best banks to buy are PSU banks which have been badly hammered. So the idea is to go long in Allahabad Bank, UCO Bank, Canara Bank and IOB and I am just giving you the four favorites currently but you could buy any of the PSU banks and that would be good enough.”

“For Reliance the trading strategy is very different. I don’t think we should be looking for ambitious gains in that. When it comes to Rs 680-700 there is a buying opportunity and an exit around Rs 730-740. That will keep on happening. It’s likely to underperform. The others Hindalco , Tata Steel , I would say that inspite of the news that’s coming in commodities of bear market starting in that segment, these stocks are really right for buying. Tata Steel at Rs 400 or sub 400 and Hindalco at Rs 115 justify taking investment positions. I would not trade in them on the long side till they build proper bases and go up.”