Short Coal India, says Sudarshan Sukhani

Short Coal India, says Sudarshan Sukhani of s2analytics.com.

Sukhani told CNBC-TV18, "Coal India is a surprising addition to the sells. It has been trading in a narrow range and that narrow range has finally converted itself into a fairly bearish distribution head and shoulder pattern, it is now breaking down suggesting if not anything atleast a sharp correction is on the way. That correction should take it much lower. So there is a short selling option here and if we get any intraday rally, which should be used to get a better price on the sell side."
He further added, "Reliance Infrastructure has a horrible chart. It has not been a favourite for me ever and it rallied, it had – all the Anil Ambani Group companies had those staircase straight rallies and then it started distributing - quite evidently retail was buying and smart money was selling; that distribution is over. A trading range has broken down decisively yesterday inspite of the fact that the Nifty was slightly better. So it tells us that a sharp correction or even a new downtrend maybe imminent here. That applies to most of the Anil Ambani stocks but Reliance Infra is the weakest of them all." Disclosure: I have no holdings in the above stocks.