Short Canara Bank, Bank of India: Sukhani

Sudarshan Sukhani, s2analytics.com advice professional traders to short Canara Bank and Bank of India.

Sukhani told CNBC-TV18, “It is very easy to say that we can go and buy now because the heart says that SBI should be bought but I wouldn’t buy it.”
He further added, “It has broken that Rs 1,900 level, it is keeping and making lower lows. All of the PSU banks, not just SBI, all of them have to stop falling. That is first and then they have to begin a process of consolidation. It is very unlikely that these stocks were falling for day’s altogether and one fine morning they will start a significant rally. That is unlikely. So for me a buy call will come if SBI stops falling and consolidates. That takes time.”
“Banks like Canara Bank and Bank of India are short selling candidates but I have to give this warning because you are short selling in a market that is broadly consolidating, there are risks. So only professional traders should take these short selling ideas but PSU banks are very weak.”