Go long in ITC, cautions on ICICI Bank: CK Narayan

CK Narayan, MD of Growth Avenues told CNBC-TV18, "ITC has actually started showing signs of life after quite a considerable amount of time. However, it has somehow kind of fallen off trader’s radar, so it would require some news element to prod some interest back into ITC. So, the initial signs are there that the buyers are back in ITC, so I would probably have some initiating longs in this, play it long basically and have some initial long positions and if some positive news flow were to emerge across the week, then I would really load up the truck with ITC from a trading perspective." He further added, "On ICICI Bank I would still remain quite skeptical because the banks as a whole have not really performed subsequent to the rate cut, which has been a bit disappointment for most of the market because everybody was expecting this sector to surge. In particular, ICICI Bank has been a big laggard as far as the private sector banks are concerned." "IndusInd Bank came out with results, did not do very much for the sector, did not do very much for the stock itself, so again here I would think that the banking sector as a whole would also need a nice shot in the arm by way of a few very positive number flows from some of the leader numbers and then ICICI can probably meet with some let us say some interested buying and probably take up with this initial hint of a recovery," he said.