Indian stock market sentiment has turned cautious as the Nifty 50 benchmark index slipped below the crucial 26,000 mark once again, reflecting a lack of fresh triggers and ongoing uncertainty surrounding a potential India-US trade deal.
Market Outlook and Volatility Concerns
The domestic equity market faces increased volatility prospects, particularly with the monthly derivatives expiry scheduled for Tuesday. Ajit Mishra, Senior Vice President of Research at Religare Broking, anticipates the Nifty 50 will likely move within a defined range of 25,800 to 26,100 in the near term.
Mishra advises investors to maintain a stock-specific strategy rather than broad market bets, suggesting that periods of market dips or consolidation present opportunities to gradually accumulate quality stocks at attractive valuations.
Expert Stock Recommendations for 1-2 Weeks
Two market experts have identified six stocks that show promising technical setups for potential gains over the next one to two weeks. Vishnu Kant Upadhyay of Master Capital Services and Hitesh Tailor of Choice Equity Broking have provided detailed analysis and specific entry points for each recommendation.
Vishnu Kant Upadhyay's Top Picks
FSN E-Commerce Ventures (Nykaa): Upadhyay recommends buying at ₹271 with target prices of ₹310 and ₹315, maintaining a stop loss at ₹252. He notes that Nykaa shares display a robust bullish structure, with price action steadily moving higher while respecting all major moving averages. The recent breakout from a narrowing consolidation range indicates resumed upside momentum, supported by healthy trading volumes that confirm active buyer interest.
Sona BLW Precision Forgings: This stock presents a buying opportunity at ₹506 with targets at ₹545 and ₹560, keeping a stop loss at ₹474. According to Upadhyay, Sona BLW has triggered a bullish reversal after forming a well-defined inverse head and shoulders pattern and decisively breaking above its neckline. The alignment of this breakout with price action moving above short and medium-term exponential moving averages reflects improving trend strength.
Safari Industries (India): Upadhyay suggests purchasing at ₹2,384 with target prices of ₹2,580 and ₹2,640, setting a stop loss at ₹2,220. Safari Industries has staged a notable bullish breakout, powering through a major supply zone after weeks of tight consolidation. This move is backed by strong volume expansion and a clean reclaim of all key exponential moving averages, signaling robust momentum.
Hitesh Tailor's Recommended Stocks
NBCC: Tailor recommends buying at ₹116.47 with a target price of ₹130 and stop loss at ₹110. NBCC shares have recently retraced, found strong support, and resumed their upward movement. The stock is consolidating in a tight range and appears poised for an upside breakout, supported by rising volumes that indicate active buying during the consolidation phase.
Waaree Energies: This stock presents a buying opportunity at ₹3,257.40 with a target of ₹3,580 and stop loss at ₹3,080. Waaree Energies is demonstrating strong bullish momentum after forming a solid closing candle on the daily chart. The stock has recently taken support at the trendline and is displaying a clear volume breakout on lower time frames, signaling renewed buying interest.
Bajaj Auto: Tailor suggests purchasing at ₹9,007.50 with a target price of ₹9,450 and stop loss at ₹8,750. Bajaj Auto is showing strength after forming a bullish candle on the daily chart that engulfs the previous consolidation range. The stock is forming a symmetrical triangle pattern and appears ready for a breakout, trading above key 20, 50, 100, and 200-day exponential moving averages.
Investment Strategy and Risk Management
Both experts emphasize the importance of proper risk management given the current market volatility. Traders should strictly adhere to the suggested stop loss levels to protect capital in case of unexpected market moves. The recommended stocks show strong technical setups with clear support and resistance levels that provide defined risk-reward ratios.
Market participants should note that these recommendations are specifically tailored for short-term trading horizons of one to two weeks. Longer-term investors might want to conduct additional fundamental analysis before making investment decisions. The current market environment requires careful stock selection and disciplined position sizing to navigate the ongoing uncertainty.
