Buy banking stocks on dips: Ashuu Kakkarr

ET Now spoke to Ashuu Kakkarr, Technical Analyst, Market Strategist, ashuukakkarr.com, on his stock picks.

ET Now: What are your views on banking stocks?

Ashuu Kakkarr: The entire sector is on a strong uptrend for the last couple of weeks. The most outperforming sector could be the banking sector.

So provided such a sector could be looked to be bought on decline but looking the RBI stance at this point of time and technically speaking also, although there is still some room for the banking index to move up but they look a triple overbought, most of the private and the PSU banks at this point of time.

So I would wait as of now to get into these private and PSU banks especially LIC which could also become a bank, PNB, the SBI, ICICI Bank and Reliance Capital at lower levels. So at this point of time, I would be cautious, book my profits, stay on sidelines and then look to get in at lower levels.