The Indian stock market closed in the red on Monday, succumbing to profit-booking ahead of the Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) meeting this week. This decline occurred despite the release of robust Q2 GDP data, which painted a picture of strong economic growth coupled with low inflation. This scenario signals that the central bank is likely to maintain a pause on benchmark interest rates for the third consecutive time.
Market Sentiment and Technical Outlook
Market mood was also influenced by the rupee's weakness and a modest year-on-year (YoY) growth of just 0.7% in Goods and Services Tax (GST) collections for November. On the technical front, analysts are watching key levels for the Nifty 50 index closely.
Vatsal Bhuva, Technical Analyst at LKP Securities, noted that significant call writing at the 26,200 and 26,300 levels suggests the index could trade sideways in the near term with a mildly bearish bias. The immediate support for the Nifty is seen at 26,100, with resistance at 26,300. For positional traders, a stronger support level stands at 26,000.
Expert Stock Recommendations for the Short Term
In this environment, market experts Vishnu Kant Upadhyay of Master Capital Services and Hitesh Tailor of Choice Equity Broking have identified six stocks they believe present buying opportunities for a horizon of one to two weeks.
Picks from Vishnu Kant Upadhyay, Master Capital Services
Marico: Upadhyay recommends buying at ₹718. The stock is showing a constructive pattern as its price finds support at the 100-day Exponential Moving Average (EMA), which aligns with a key horizontal demand zone. This combination of dynamic and static support indicates strong buying interest. He sets target prices at ₹765 and ₹780, with a stop loss at ₹688.
Mangalore Refinery and Petrochemicals (MRPL): The analyst suggests buying at ₹162. MRPL maintains a bullish structure, with the price retracing into a former breakout zone that coincides with short-term EMA support. Targets are placed at ₹178 and ₹185, with a stop loss at ₹152.
L&T Technology Services (LTTS): Upadhyay advises buying at ₹4,445. The stock has broken above a key falling trendline on the daily chart, hinting at a potential bullish reversal. He sees targets at ₹4,800 and ₹4,900, with a stop loss at ₹4,140.
Picks from Hitesh Tailor, Choice Equity Broking
Varun Beverages (VBL): Tailor recommends buying at ₹484.15. The stock has bounced from a strong support zone and is nearing a breakout from a falling trendline. The target is ₹530, with a stop loss at ₹460.
Kalyan Jewellers India: The analyst suggests buying at ₹506.95. The stock is consolidating and forming an inverse head and shoulder pattern. A sustained breakout could push it towards ₹560. The stop loss is set at ₹480.
Dr. Reddy's Laboratories: Tailor recommends buying at ₹1,260.10. The pharma major is trading above key moving averages and is on the verge of breaking a falling trendline. The target is ₹1,355, with a stop loss at ₹1,210.
Disclaimer: This article is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies. Investors are strongly advised to consult certified experts before making any investment decisions, as market conditions are dynamic and individual circumstances vary.
