Short Shree Renuka Sugars, says Sukhani

Sukhani told CNBC-TV18, "We discussed Shree Renuka Sugars and I said that there is some kind of a correction and maybe that correction is a buying opportunity. But the markets are always wiser. That correction was not a buying opportunity, it was the sign that the trading range we were watching was actually some kind of a minor distribution. A bearish pattern has been confirmed. Shree Renuka is looking at lower levels. At some point it will become a buy, but I would assume that at current levels there is a short selling opportunity."

He further added, "Just like Shree Renuka, JSW Steel has decided to go down and what we were watching was the smart money exiting through a process of distribution, so there is much more downside. Renuka is probably a buy on dips at some point but JSW Steel is not even that. There is significant downside that is possible in this stock. So do not try to catch falling knives. Look to sell on every rally, every sign of strength."