More downside likely to happen in IT space, says Sukhani

More downside is likely to happen in IT space, says Sudarshan Sukhani, s2analytics.com.

Sukhani told CNBC-TV18, “Indiabulls Real Estate and HDIL both are worth buying but this is not a good time to buy. If we start trading on half hour movements or 5 minute movements then the trader will be out of the business very soon. So you wait patiently, the Nifty itself is telling us that it is going through beginning correction of some kind.”
He further added, “These random moves sometimes will keep on coming but they are not tradable. HDIL and Indiabulls Real estate are both worth buying into but some patience is required. Probably next week when the market bottoms out that’s the time to buy them.”
“I would assume that TCS also would be a short sell and the other 3, HCL Tech, Infosys and Wipro have already been sold. Infosys today but Wipro and HCL earlier. So the broad view is that there is more downside in the IT space and the trade is professional traders should go to look and short it, keep appropriate stop losses but others should not try to buy. These are falling knives, they are not yet at a point where we can buy them.”
"We are looking at a smallcap and midcap stocks rather than the large blue-chips, we are looking at Siemens to go short in and surprisingly an FMCG stock Godrej Industries has done very well today, it has turn around what apparently was a correction, so that is something we should be looking at to go long."