Sell metal stocks, PSU banks: Sudarshan Sukhani

Sudarshan Sukhani of s2analytics.com told CNBC-TV18, "You have to wait; these are buying opportunities if the market stabilises. At the open we do not know if the market will stabilise or not so we just identify the names and if the market stabilises, Zee Entertainment and Sun Pharmaceutical Industries are both opportunities on the long side. If it doesn’t, then don’t head long into. Even for the short positions, the basic idea is wait for 15 minutes, if the market continues to show weakness go ahead and sell them." "The prime candidates could have been Vedanta and Hindalco Industries. However, JSW Steel had a nice rally. So, we are now selling into strength. My sense is that most metal stocks will now come back to their earlier lows and JSW Steel is likely to do the same. So, it is just an easier sell because you are selling at higher prices. Otherwise, all metal stocks are sells, inspite of the big declines yesterday all PSU banks are sells. It requires a little bit of courage to say sell PSU banks now but I think that trade is valid," he said. "Tata Steel, Vedanta and Hindalco are short selling ideas. In fact it is plenty, so the traders could decide favourite stocks and consider selling, even after a gap down. Just let there be a cooling process, cooling time but I would not worry about the fact that it has gone down or gone up. They are now breaking down again, lower levels are coming."