Buy, Sell or Hold: What should investors do with IFB Industries, Karur Vysya Bank and Finolex Cables?

The domestic equity market ended higher by more than half percent as it snapped a two-day losing streak, on Thursday. Led by IT and oil & gas stocks, the broader Nifty50 settled above 16,600, while the Sensex gained more than 400 points to close around 55,800.  

In the broader market, Nifty Midcap and Smallcap too rose by 0.6% each on Thursday's closing.  

On the sectoral front, Nifty oil & gas stocks gained the most as the index ended with nearly a two per cent gain, it was closely followed by IT, which settled with over 1.5% gain.  

"The bounce in the market is showing signs of getting extended further, supported by a mid and small-cap. High-frequency data like GST collection and PMI have shown a good start to FY23. Crude prices have declined providing an edge to the performance of the Indian market," said Vinod Nair, Head of Research at Geojit Financial Services. 

Meanwhile, certain stocks came in focus on Thursday. These stocks were IFB Industries, Karur Vysya Bank and Finolex Cables. IFB Industries closed with over seven per cent gain, Karur Vysya Bank ended higher by eight per cent and Finolex Cables settled with nearly 11% gains on Thursday.  

Here is what Gaurav Ratnaparkhi-Head of Technical Research at Sharekhan by BNP Paribas recommend investors should do with these stocks. 
 

IFB Industries  

The stock has formed a base triangle on the daily chart & has broken out on the upside today. On the way up, it has crossed its crucial daily moving averages. This shows that the stock is set for a further upside. The short-term momentum indicators are supporting the bullish structure. Thus, the stock can head towards 1050 in the next couple of weeks  

Karur Vysya Bank  

The stock has seen a strong breakout on Thursday, which is accompanied by large volumes. In terms of the bar patterns, it has broken out from an Arrow pattern that was formed on the daily chart. Also, the stock managed to surpass its crucial swing high on the daily chart. The positive momentum is expected to continue going ahead. On the upside, 54 & 56.60 will be the targets from medium term perspective.  

Finolex Cables 

The stock had a base formation in the range of 340-360 in the last couple of weeks. Post the base formation, it has started forming higher high & higher low on the daily chart. This is a positive sign as per the Dow Theory. Momentum indicators on various time frames are supporting this bullish development. Thus, the stock is expected to take a leap towards its 200 DMA, which is near 468.