Stocks to buy for the short term: Positive news flows about the US-Iran war and emerging signals that the US is keen to secure a peace deal with Iran have comforted markets globally. The Indian stock market benchmarks, the Sensex and the Nifty 50, have jumped about 3.5% each over the last two trading sessions after US President Donald Trump’s remarks indicated the conflict in West Asia might end soon.
However, significant uncertainty remains about the reported negotiations. According to PressTV, Iran on Wednesday (local time) rejected the US proposal, insisting that a ceasefire will only take place on the Islamic Republic’s terms and timeline.
The stock market is expected to react to news flows on the US-Iran war front and global cues.
On the technical front, the Nifty 50 formed a long bullish candle on the daily charts in the previous session on Wednesday, which indicates that an uptrend may continue.
According to Amol Athawale, VP – Technical Research, Kotak Securities, the market has completed one leg of the pullback move; therefore, buying on intraday corrections and selling on rallies would be the ideal strategy for traders.
“On the downside, 23,100/74,700 and 23,000/74,500 would act as key support zones, while 23,500–23,700/76,000-76,500 could be the crucial resistance areas for the bulls,” said Athawale.
“Below 23,000/74,500, the sentiment could change. If the index falls below this level, traders may prefer to exit their long positions,” Athawale said.
Stock picks for the short term
Vedanta | Previous close: ₹669.65 | Target price: ₹720 | Stop loss: ₹645
Athawale pointed out that after pulling back from higher levels, Vedanta shares found support near their key zone and have begun a steady recovery from recent lows.
On the daily chart, Vedanta shares have broken out of a downward-sloping channel, signalling a potential trend reversal. Current price action points to the start of a fresh bullish phase.
“In the coming sessions, ₹645 will be a crucial level to monitor. Sustained trading above this mark could fuel further upside momentum, potentially driving the stock toward the ₹720 level, highlighting a positive outlook from current levels,” said Athawale.
Crompton Greaves Consumer Electricals | Previous close: ₹242.55 | Target price: ₹260 | Stop loss: ₹233
Athawale said that after the sharp up move of the last couple of sessions, Crompton Greaves Consumer Electricals shares witnessed profit booking from the higher levels.
However, closing near the important retracement zone and short-term moving average suggests a bullish continuation chart structure. Therefore, the stock is likely to resume its uptrend in the coming horizon.
“For the next few trading sessions, ₹233 could be the trend decider level for the bulls. If it sustains above the same, we can expect further uptrend towards ₹260,” said Athawale.
Canara Bank | Previous close: ₹136.53 | Target price: ₹147 | Stop loss: ₹131
Athawale highlighted that after a decline, Canara Bank shares reversed from a key support zone.
The stock has formed a rounding bottom chart pattern on the daily scale, and it is in a steady upward move.
Technical indicators like RSI also indicate a further upward trend from current levels, which could boost bullish momentum in the near term.
“As long as the stock is trading above ₹131, the reversal formation is likely to continue. Above which, the stock could move up to ₹147,” Athawale said.
Read all market-related news here
Read more stories by Nishant Kumar
Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of the expert, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
