Short REC, says Sudarshan Sukhani

One can short Rural Electrification Corporation (REC), says Sudarshan Sukhani of s2analytics.com.

Sukhani told CNBC-TV18, "Rural Electrification Corporation’s (REC) three-four day rally together with the Nifty stopped exactly at a resistance level. Yesterday we saw a decline again. The rallies were so small, they were almost negligible. So, the downtrend is very much intact, it is probably moving lower.”
He further added, “There is a theme here, PSUs, we need some more analysis and some people hopefully will provide that. However, the theme is that PSUs are going down much more; REC is now on the verge of breaking all kind of support levels. The trade is to go short in it and rather than shorting it in the morning, wait for intraday rallies. One will always get better trade location if one does that."