Sugar in persistent long-term downtrend: Deepak Mohoni

In an interview with ET Now, Deepak Mohoni, Director, trendwatchindia.com, shares his views on the outlook of sugar and fertiliser stocks.

What is the call on the fertiliser and sugar spaces?

Sugar and fertilisers were both looking pretty poor until today's rally. I would not touch them. For so many budgets we have seen fertiliser stocks make a move. On that basis, somebody could take a position. But it is better to stick with stocks which are in uptrends or getting into uptrends.

Sugar did make a move yesterday but they are in a pretty persistent long-term downtrend. At best, they have been rewarding holders for about a month or so. Even now they have not got into that kind of a move where one could trade them on the long side. So, sugar at best to wait, and fertiliser let the rally begin, then maybe it can be a trade in the long.