Tata Steel may head lower: Sudarshan Sukhani

Sudarshan Sukhani of s2analytics.com told CNBC-TV18, "Tata Chemicals is in a sustained downtrend. So it is just an addition to a trend that is already ongoing significantly on the downside." "Tata Steel is in a trading range. It has now come to the top of the trading range between Rs 250 and Rs 260 and is finding resistance there. It is an outperformer, but that resistance could easily hold. I also understand that there would be adverse effect of the decline in the British pound to some of the companies and Tata Steel could be one of them. The charts say resistance is holding and it is likely to see a swing on the downside," he said."Exide had a lousy chart. It had earnings problems and everything else was going bad for it. Now, it has rallied and it is outperforming the Nifty. The stock is outperforming the ancillary sector. It is in a trading range with a lot of days on which it opens lower and closes higher which tells us that at least smart money is probably buying rather than selling. So, it is on the verge of breaking out from that range. If the markets are volatile, the chances are some stocks will go up and it would be interesting to see which ones. I am hoping that we have got some of them." "The outperformance is visible and clear while the Nifty has been falling and other power stocks have been falling, Adani Power has actually held on its own. The lower lows it made, have given way to some kind of higher lows. So, it is possible that a lot of stocks are giving exhaustion patterns on the downside which means the selling is getting exhausted. They have not started going up but the patterns are now visible."