Jay Thakkar on why time is right to go for Wipro and ICICI Bank

economictimes.indiatimes.com:

Jay Thakkar, Vice President & Head of Alternate Research, Sharekhan, says that in the case of Wipro,“the momentum indicators on the weekly and daily charts have come into the buy mode very clearly. So Rs 435 would be my target on Wipro, Rs 404 will be the stop-loss. The risk reward is absolutely in favour of the bulls.”In the last 15-20 minutes of trade, most of the indices have reversed. Are we witnessing some reasonable correction or will this be a shallow one?As far as the Nifty is concerned, for this weekly expiry, the range can be 19,800 to 19,500.

I do not see the weekly expiry going below 19,500 and that is a very crucial support. Definitely from the higher levels, we are seeing some profit booking and that can continue. But the overall data and the chart setup will not see a major correction in the market.

I mean, even if it breaks 19,500, it will find support around the levels of 19,300. As far as Bank Nifty is concerned, that has provided a breakout in yesterday's session. I believe that 44,500, the recent days which Bank Nifty has formed, till those levels are held, which is roughly around 2% from current levels and that will be the stop loss on Bank Nifty.

I think till those levels are held, the upside potential is definitely there.IT is showing very interesting trends today. The top gainer on the F&O list is Infosys which is an IT stock. At the same time, even the top loser in the F&O is LTI Mindtree. Would you buy LTI Mindtree on this 3% cut today or would you be shorting Infosys on the rallies?IT definitely has provided a very nice breakout.

Hence, I would not be shorting IT right now because we have seen a good reversal coming here. And that too on largecap names like TCS, Wipro, Infosys. Even the midcap