The domestic equity market started Thursday’s session on a higher note, extending gains for the second straight session amid good global cues, Q2 business update and foreign investor flow. The FIIs turned net buyers on Tuesday in the cash market and bought Rs 1,344.63 crore in stocks, as NSE data.

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Besides, the global markets are trading mixed wherein the three major US market indices closed marginally lower on Wednesday, while the Asian markets reported growth of around 1 per cent during Thursday’s early morning session. 

The 30-share Sensex surged nearly 500 points to trade above 58,500, while the Nifty50 jumped around 150 points to trade around 17,400. In the broader market, Nifty Midcap and small cap traded higher by over 1 per cent each. Also, almost all Nifty indices sat comfortably in the green.

Earlier, some stocks came in focus based on their movement on Tuesday. These stocks were Mahindra and Mahindra Financial Services, IDFC First Bank and Suven Pharmaceuticals.

Shares of Mahindra and Mahindra Financial Services were trading flat with a positive bias, IDFC First Bank was up nearly 2.5 per cent and Suven Pharmaceuticals was up marginally by around 0.5 per cent in the early morning trade on Thursday.

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

Mahindra & Mahindra Financial Services – Buy - CMP: 200; SL: 192; TGT: 215

Shares price of Mahindra & Mahindra Financial Services surged over 11 per cent on Tuesday after the company provided a strong update for the September quarter. The primary trend of the stock is positive as it is trading above its 100 &200-Days Exponential Moving Averages. During the recent correction, the stock price has taken support at the 200 DEMA. Momentum oscillator RSI head upward and moving in Higher-Low formation, which suggests more upside in the prices.

IDFC First Bank – Buy - CMP: 54; SL: 50.40; TGT: 57

Shares price of IDFC First Bank rallied over 7 per cent intraday to hit the fresh 52-week high of 54.15. Additionally, the stock has been consistently maintaining its uptrend and can be seen trading in a rising channel on broader charts. Momentum oscillators RSI continue its Higher-Low formation & stood above the centreline, which suggests that bullish momentum may carry on in the upcoming sessions as well.

Suven Pharmaceuticals – Sell below 425; SL: 443; TGT: 395

Shares price of Suven Pharmaceuticals continue its losing streak for the third consecutive session and sustained near the key support level. The stock is moving in Lower-High & Lower-Low formation and consistently trading below the 50, 100 &200 DEMA. Additionally, momentum oscillator RSI stood below the center-line which suggests that we may see further correction in the prices in near future.