Look at largecap, IT stocks: Parag Thakkar

Parag Thakkar of HDFC Securities told CNBC-TV18, "I have been always saying that in such large correction days you should buy secular domestic cyclicals in the large cap space, something like Kotak Mahindra Bank or Maruti Suzuki because they come down very rarely. So, this was a great opportunity.""In my view FIIs will take this step of our government very positively. They will feel that it is not only a progressive government which comes out with GST and all those reforms but it also takes steps to protect the country which is actually the largest point. So, from security aspect also they will have full regards for this. So, it was a great step and in my view it was a buying opportunity.""Today it is recovering and tomorrow it might fall again due to Deutsche Bank or any other reason which can come. However, my view remains that we are through with monsoon, it is a decent monsoon, we know that interest rates are going to be cut, we know that festive season is going to start, so from second half definitely earnings will look better for domestic cyclicals, we know that asset quality issues of banks are slowly and steadily reducing.""I think the slippages numbers which we had seen in Q1 is not going to repeat. So, in my view any such fall will be a good buying opportunity but you have to buy gradually, that will be my advice and now midcaps have actually given fantastic returns. I would actually recommend investors to look at large caps now and buy secular stories in large caps, 3-4 top picks are there and as a contra view you can buy IT also, Infosys and HCL Tech," he added.