Bajaj Finance, IFB Industries and Devyani International shares: Should you buy, sell or hold?

The Indian market extended gains to the second consecutive day amid positive global cues on Thursday. Benchmark indices gained almost two per cent on Thursday, buoyed by a strong show by large cap companies in the Q1 and a positive commentary on recession by the US Federal Reserve   

"Positive cues from global markets following the Fed policy outcome, as well as domestic large caps’ upbeat earnings, drove the market rally. The Fed's decision was as expected, while their positive comment dismissing the possibility of a recession and hinting at a slower pace of rate hikes in the coming months boosted global sentiments, said Vinod Nair, Head of Research at Geojit Financial Services. 

This also led to strength in the Indian rupee, potentially attracting foreign funds into the domestic market, Nair said, adding, domestic investors are now bracing for the RBI's MPC meet next week expecting a rate hike by 25-50 basis points. 

Meanwhile, the broader Nifty50 gained 287.80 points (1.73%) to end at 16,929.60, while the Sensex rose by 1041.47 points or (1.87%) to settle at 56,857.79 on Wednesday.  

In the broader market, Nifty Midcap and Smallcap gained 0.8% each, while all Nifty sectoral indices sat in the green. Nifty IT and Financial Services were top gainers among sectoral indices on Thursday.  

"Nifty has moved above its previous swing high, suggesting a rising bullishness. Besides, a bullish crossover of short-term moving averages is likely to provide tailwind to the index value over the short term," said Rupak De, Senior Technical Analyst at LKP Securities. 

On the higher end, resistance is visible at 17000/17200, whereas on the lower end, support is visible at 16700, the expert added.  

Meanwhile, certain stocks came in focus on Thursday. These stocks were Bajaj Finance, IFB Industries and Devyani International. Shares of Bajaj Finance and IFB Industries jumped over 10%, while Devyani International rose higher by more than six per cent on Thursday.  

Here is what Akhilesh Jat, Category Manager - Equity Research, recommends what investors should do with these stocks.  
 

Bajaj Finance Limited 
Buy: 7110; SL: 6910; TGT: 7340 
Shares of Bajaj Finance closed in the green for the third consecutive day on Thursday to close highest since 27th Apr 2022. The stock has jumped over 10 per cent intraday after the company posted earnings results for the June ending quarter. Momentum oscillators RSI continue its Higher Low formation and MACD indicator sustaining above zero levels with positive crossover suggests prices may continue its upward movement in upcoming sessions as well. 

IFB Industries Limited 
Buy: 975; SL: 935; TGT: 1025 & 1050 
Shares of IFB Industries surged over 10 per cent to break its four-day losing streak and closed near to its three-month high. The counter is trading above its 21, 50 & 200-Days exponential moving averages. The histogram contracts on the downside and moves towards the zero line and momentum oscillator RSI head upward, and sustaining above the centreline suggests more upside in the prices. 

Devyani International Limited 
Buy: 171; SL: 166; TGT: 178 
As on 28th July 2022, shares of Devyani International Limited opened on a positive note and trading with positive.  The stock rallied over 6% with a record volume of 4.24 lakh shares on NSE, which is 39 times higher than the two-week average daily volume. On the upside, the prices are likely to face resistance at 171, breaching this level may the run-up towards 180.  

(Disclaimer: The views/suggestions/advice expressed here in this article are solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)