Mahindra Finance, Sun Pharma & rail stocks: What Brijesh Ail of IDBI Capital says on these counters

Brijesh Ail, Head of Technical & Derivatives, IDBI Capital Markets & Securities, on Tuesday said traders should avoid taking new positions in railways counters. "The view remains positive. Hold your long positions but don't take fresh trading bet," Ail told Business Today TV. Rail PSU counters have witnessed a strong surge this month on expectations of a record capex allocation for the sector in the upcoming Budget, due to be presented on February 1.

On the stock-specific front, the market expert selected Mahindra & Mahindra Financial Services Ltd as one of his top picks for the day. "The stock strong on charts. It can go up to Rs 300 level in a couple of days," Ail stated. Mahindra Finance shares were last seen trading 1.76 per cent lower at Rs 276.50.

When asked to pick a counter from the pharma space, he selected Sun Pharmaceutical Industries Ltd, given a strong momentum. The stock was up 4.05 per cent at Rs 1,379.60.

The analyst also liked Multi Commodity Exchange (MCX) shares. MCX was down 3.52 per cent at Rs 3,097.90.

Meanwhile, Indian equity benchmarks were trading higher today, led by gains in IT, pharma, banks and financials. Broader markets (mid- and small-cap shares) were also positive.

Foreign institutional investors (FIIs) sold Rs 545.58 crore worth of shares on a net basis during the previous session and domestic institutional investors (DIIs) offloaded Rs 719.31 crore worth of shares, exchange data showed.

14 out of the 15 sector gauges -- compiled by the NSE -- were trading in the green. Sub-indexes Nifty IT, Nifty Pharma, Nifty Bank and Nifty Financial Services were outperforming the NSE platform by rising as much as 1.12 per cent, 1.31 per cent, 0.81 per cent and 0.94 per cent, respectively. Nifty Media, however, shed 2.67 per cent.

On the stock-specific front, Cipla Ltd was the top gainer in the Nifty pack as the stock soared 4.34 per cent to trade at Rs 1,373.35. ICICI Bank, PowerGrid, Bharti Airtel and Sun Pharma rose up to 3.11 per cent.

In contrast, Asian Paints, BPCL, HDFC Bank, Britannia and Grasim Industries were among the top losers on Nifty50.

The overall market breadth was strong as 1,796 shares were advancing while 1,031 were declining on BSE.

(Disclaimer: Business Today provides stock market news for informational purposes only and that should not be construed as investment advice. Readers are encouraged to consult a qualified financial advisor before making any investment decisions.)

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