Sell infra stocks on rally, says Sukhani

Sell infra stocks on rally except Punj Lloyd, says Sudarshan Sukhani, s2analytics.com.

Sukhani told CNBC-TV18, “Most infrastructure stories are short selling except for Punj Lloyd. That is something you don’t want to sell but otherwise infra as well as midcap banking and PSU banks, large banks I am not impressed by the banking rally we have seen today. We need to see this follow through. So, a rally today is a short selling opportunity. We could easily be wrong, if we are wrong we will get stopped out but as of now that is the current position.”
He further added, “The markets have rallied as we can see. I would assume that today or on Monday this gives us an entry opportunity on the short side. But we have to be prepared for what could be an otherwise different scenario and our stops are the previous highs of 5965. So, far as the Nifty remains below that level I am assuming that this is a short selling market.”
“Individual stocks banks are going to be big short sells and FMCG. ITC and Hindustan Unilever which we have been pushing on the upside for months all together are now going to be the first ones to be sold into. So, these are two stocks we should be looking at, as also the top five private sector banks Axis Bank, ICICI Bank, HDFC Bank and the housing company HDFC. So, this is a list of bluest of bluechips, all of which are now likely to come into the selling category.”