Nifty faces resistance at 4880: Sudarshan Sukhani

The level of 4,800 on the Nifty seems like a short-term trend today, said Sudarshan Sukhani of TechnicalTrends.com. However, he indicated that long positions can be taken if the market closes strong.

From the metals pack, while Sukhani suggested Hindalco and SAIL as good selling opportunities, he elucidated that Hindustan Zinc and Tata Steel are good buying opportunities.
He also has a sell call on Sun TV. He believes that adding Pantaloon or beginning new long position in the stock is a good opportunity. Here is the edited transcript of his interview. Also watch the accompanying video. Q: The level of 4,800 on the Nifty is still going strong. Would you add on to longs at this juncture? When would you want to change your view?
A: The short-term trend seems to be up today because we had a gap open, which is not enough, but the gap has been sustained. This tells us that there is momentum on the upside.
So far, I have not taken any long positions mainly because the gap was larger than expected. If the market closes strong, then long positions might be taken. This would be a short-term position in any case.
The first levels of resistance seem to come at around 4,880 levels and then 5,000 levels. As we go up, we will face a lot of resistance at repeatedly higher levels. The first resistance has been crossed that was 4,750 levels. We are decisively above it. Q: What is your view on Sun TV?
A: This stock has now come to its lows. There are chances that it will build some kind of a base here. This is not a short sell any more. Q: What about Pantaloon? It gained partly driven by news, but as you said, it was already developing a base. Will today's fall be an opportunity to add at all?
A: I think so. It should be an opportunity to add to the stock or begin a new long position in the stock. It rallied a lot from Rs 150 to Rs 240. It is a significant rally for five days.
It is going through a correction because other market cap participants are moving up. It