Trading Idea: Will IT stocks be a safe bet amid Rupee's weakness?

The rupee slumped to a record low on Thursday, while stocks and bonds were hit, after the Federal Reserve signalled a tapering of its monetary stimulus later this year.

So should you BUY software stocks which outsource majority of their products to overseas market amid the ongoing Rupee carnage?

Check out the trading strategies for information technology (IT) and other frontline stocks with Ravi Nathani, Technical analyst, Nsetoday.com.

Smartinvestor : Would you suggest shifting stance to defensives at this juncture? What are your stock picks in the defensive space?

Ravi Nathani : Yes best pick would be buy SUNPHARMA whereas target expected would be 1000 in short term.

Smartinvestor : What about ITC and HUL? Do you have any strategy here?

Ravi Nathani : ITC & HUL both are trading in very narrow range on charts.

Smartinvestor : Will the strategy be to HOLD them?

Ravi Nathani : Yes as both of them are range bound on charts whereas the range for ITC is (322- 334) & HUL is (598-590). Close above/below would add trigger in the direction.

Smartinvestor : With the current weakness in rupee, will you suggest buying IT stocks?

Read the complete transcript here...