Bearish on Tata Steel: Deepak Mohoni

Deepak Mohoni, Director, trendwatchindia.com in an interview with ET Now talks about Tata Steel and McLeod Russel.

You have got a pick from the tea space, McLeod Russel and we have spoken about metals and you are particularly bearish on Tata Steel from here.

Just very well established downtrends in both these stocks. I would not say the entire tea pack is really looking that bad. Tata Tea is holding out a little bit but McLeod Russel for whatever reason has been in continuous and pretty sharp and persistent decline for a couple of months now.

It had a good bull market but it has really started tumbling even at times when the market was doing well and today same story again, odd 5% down. So this is quite a decline. One can participate in that and Tata Steel, it has not participated in the last uptrend. Normally when you have a market uptrend, you had the steel pack participating, that has not come in and now we are seeing the downside pressure as well. So it is looking like a lot of the metal stocks have ended that a little bull run they had. So Tata Steel therefore is a candidate.