Exit IT stocks on rally, says Ambareesh Baliga, COO, Way2Wealth.
Baliga told CNBC-TV18, "IT sector, we have seen outperformance, I suppose the results may just hold on basically because of the weak rupee but from the business environment we see that as far as discretionary spends are concerned there is no visibility and that is going to affect them going ahead. So post these results I suppose I don't see much of an upside for IT. So right now we are not telling people to buy. We are asking them to wait for the results maybe if you see an upside utilise that to exit."
He further added, "After the fall which is seen especially in REC from those Rs 170- 180 levels we have seen a drastic fall. So right now what we are seeing is more of a bounce back because looking at the problems which are there in the power sector and NPAs which are going to be there I think for these stocks to have a sustained up move is going to be a bit difficult."
