Big Movers on D-St: What should investors do with Divi’s Laboratories, M&M Financial and Cadila Healthcare?

Sectorally, buying was seen in telecom, realty, public sector and FMCG stocks while selling was visible in metals, utilities, power, and IT stocks.

Stocks that were in focus include names like Divi’s Laboratories which was down over 3%, M&M Financial Services which gained nearly 8%, and

which rose over 8% to hit a fresh 52-week high on Monday.

Here’s what Jatin Gohil, Technical and Derivative Research Analyst, Securities Limited at recommends investors should do with these stocks when the market resumes trading today:

Mahindra & Mahindra Financial Services – Buy
Due to positive news flow, the stock surpassed its short-term supply zone, which was placed at around Rs 250 and rose to 3 ½ year high of Rs 269.

Rise in volume on an increase in future open interest signals that major market participants were in favour of the bulls.

The stock has the potential to move towards Rs 293, which coincides with its highest level of Dec’2018. The key technical indicators are positively poised on major timeframe charts.

Zydus Lifesciences – Buy
The stock jumped to a fresh 52-week high after the company reported its quarterly result. This could lead the stock towards its prior point of polarity, which was placed at around Rs 550.

The stock is positively poised above its key moving averages on major timeframe charts. Its major technical indicators are in favour of the bulls.

Divi’s Laboratories – Exit
The stock tanked post its quarterly result and extended loss subsequently. The stock is trading below its major moving averages on medium-term as well as short-term timeframe charts.

The key technical indicators are negatively poised. This may drag the stock further lower.

(Disclaimer: Recommendations, suggestions, views and opinions given by experts are their own. These do not represent the views of Economic Times)