Stocks to buy for the short term: The domestic stock market benchmark, Nifty 50, started the year 2026 on a positive note. The index ended 17 points, or 0.06%, up at 26,146.55 on 1 January, extending gains to the second consecutive session. On Friday, 2 January, the index jumped about 0.50% to rise to an intraday high above 26,270.
The Indian stock market is expected to deliver healthy returns in 2026 on earnings growth, an India-US trade deal, and the return of FIIs. Some experts expect the Nifty 50 to hit levels above 29,000 by the end of the year.
Ajit Mishra, SVP of Research at Religare Broking, expects the Nifty to gradually emerge from the prevailing consolidation phase.
“A decisive breakout above the 26,200 level could pave the way for a move towards the 26,500–26,700 zone in the near term. Traders are advised to maintain a positive bias and adopt a buy-on-dips strategy, with preference for banking, auto and metal stocks, while continuing to focus on disciplined risk management,” said Mishra.
Stock Recommendations
Bharat Heavy Electricals (BHEL) | Last traded price (LTP): ₹291.45 | Target price: ₹310 | Stop loss: ₹280
BHEL indicates a bullish continuation pattern, marked by an upside breakout accompanied by notable volume expansion, confirming strong participation and accumulation.
The stock has rebounded decisively from its base and is trading firmly above key short- and long-term moving averages, reflecting strengthening momentum.
The overall technical structure remains constructive, implying the prevailing uptrend is intact.
Corrective declines are likely to attract buying interest, supporting long positions on pullbacks ahead.
IndusInd Bank | LTP: ₹890.20 | Target price: ₹950 | Stop loss: ₹855
Mishra highlighted that IndusInd Bank reflects a well-defined bullish trend, supported by a sequence of higher highs and higher lows.
The recent breakout from a prolonged consolidation zone signals renewed upside momentum.
Prices are firmly positioned above key short- and long-term moving averages, confirming trend alignment across timeframes.
“The rising trendline continues to provide dynamic support, indicating strong underlying demand, which is further supported by rising volume,” said Mishra.
“The technical structure showed bullish continuation where pullbacks are likely to attract buying interest in line with the prevailing uptrend,” Mishra said.
Larsen & Toubro (L&T) | LTP: ₹4,140.40 | Target price: ₹4,420 | Stop loss: ₹3,985
Mishra pointed out that L&T has been trading in a steady uptrend after making a low in April 2025, characterised by consistently higher highs and higher lows.
It has resumed momentum with a positive breakout after a brief consolidation, indicating continuation of the primary trend.
Prices are trading firmly above key moving averages, which are sloping upward and providing dynamic support.
“The rising trendline remains intact, reinforcing bullish bias while volume activity is steady and suggesting healthy participation without signs of distribution,” Mishra said.
“Overall, the technical setup remains favourable, with the broader structure supporting further upside in line with the prevailing trend,” said Mishra.
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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.
