Stocks to buy for the short term: The Nifty 50 on Monday, December 15, closed 20 points lower at 26,027 on profit booking in select heavyweights amid mixed global cues.
Rupee’s weakness, foreign capital outflow, and lingering uncertainty over an India-US trade deal have kept the market in a range. On the technical charts, experts say the level of 26,100 is a key hurdle for the index.
On Tuesday, the domestic market may see a muted start. The Gift Nifty was trading near the 26,085 level, down 5.5 points or 0.02% from the Nifty futures’ previous close.
“While rate cuts by the RBI and the US Fed provide a supportive backdrop, near-term sentiment remains fragile given persistent FII outflows, a weakening rupee near ₹90.78/USD, and concerns over AI profitability,” said Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd.
“Technically, Nifty continues to face selling pressure below its all-time high of 26,326, with support at 25,693 key for near-term stability. With key US economic data due this week, markets look poised for an up-and-down session as investors stay cautious,” Tapse said.
Stock picks for the short term
As the market sentiment appears cautious, experts suggest buying stocks with strong fundamentals and favourable technical indicators.
Vishnu Kant Upadhyay of Master Capital Services and Hitesh Tailor of Choice Equity Broking recommend five stocks to buy for the next 1-2 weeks. Take a look:
Expert: Vishnu Kant Upadhyay, AVP- Research & Advisory, Master Capital Services
IDFC First Bank | Target prices: ₹91 and ₹92 | Stop loss: ₹79
As per Upadhyay, IDFC First Bank stock continues to exhibit a robust bullish structure, having delivered a decisive breakout from an ascending triangle pattern, signalling trend continuation.
The stock is comfortably placed above its 20,50,100,200 EMA cluster, indicating strong multi-timeframe alignment.
Price action reflects higher highs and higher lows, supported by improving volumes and momentum.
“As long as the breakout zone is defended on a closing basis, the technical setup remains constructive and favours further upside extension in the near term,” said Upadhyay.
UPL | Target price: ₹822 | Stop loss: ₹729
Upadhyay underscored that UPL is maintaining a well-defined bullish trend, trading comfortably above its 20,50, 100 and 200-day EMA stack, indicating strong multi-timeframe trend confirmation.
The decisive breakout from a bullish pole and flag formation signals continuation strength with an expanding price structure.
Momentum remains constructive, as reflected in sustained higher highs and higher lows, while moving averages continue to slope upward.
“As long as the stock holds above its immediate demand and breakout zone, the technical setup favours further upside extension,” said Upadhyay.
BPCL | Target prices: ₹394 and ₹410 | Stop loss: ₹346
Upadhyay highlighted that BPCL stock has given a breakout from a consolidation range on the daily chart, signalling continuation of its prevailing uptrend.
The breakout has been accompanied by good volume, highlighting renewed buying interest.
Sustained price action above key short-term moving averages reinforces positive momentum, while steady volumes on the breakout support an accumulation bias.
“With this structural breakout, BPCL may extend its up move towards higher resistance levels in the near term,” said Upadhyay.
Expert: Hitesh Tailor, Technical Research Analyst, Choice Broking
NMDC | Target price: ₹85 | Stop loss: ₹75
Tailor pointed out that NMDC is consolidating within a narrow range after a recent up move.
The stock is taking support near its rising trendline on the downside, which is aligned with the 100-day EMA, indicating strong buying interest at lower levels.
It continues to trade in a higher high and higher low formation on the daily chart, reflecting a positive underlying trend and improving momentum.
The RSI at 70.45 highlights strong momentum and potential for continuation of the uptrend.
“On the upside, immediate resistance is placed in the ₹78.80– ₹80 zone, and a decisive break and sustain above this range could open the door for further upside,” said Tailor.
“Short-term traders may consider buying near current levels with a stop loss of ₹75 for a target of ₹85, subject to disciplined risk management,” Tailor said.
Indian Oil Corporation (IOC) | Target price: ₹185 | Stop loss: ₹160
According to Tailor, IOC is showing signs of strength, supported by a consistently higher high and higher low formation.
The stock is trading above all key moving averages (20, 50, 100, and 200-day EMAs), reflecting a strong bullish structure and sustained buying interest.
Overall price action suggests positive momentum and the potential for continuation of the uptrend in the near term.
The RSI at 65.41 indicates healthy momentum.
“On the upside, immediate resistance is placed near ₹170, and a break and sustain above this level could trigger further upside. On the downside, immediate support lies around ₹160, aligned with previous swing support and the 50-day EMA,” said Tailor.
“Short-term traders may consider buying near current levels with a stop loss of ₹160 for a target of ₹185, with proper risk management,” Tailor said.
UPL | Target price: ₹825 | Stop loss: ₹730
Tailor highlighted that UPL is showing signs of strength after taking strong support near its previous breakout zone.
The stock has resumed upward momentum with a strong bullish candle and continues to form a higher high–higher low structure.
Price action remains comfortably above its key 20, 50, 100, and 200-day EMAs on the daily chart, highlighting sustained buying interest and a positive trend bias. The overall structure suggests potential for further upside in the near term.
The RSI at 64.34 indicates healthy momentum with room for continuation.
“On the downside, immediate support is placed near ₹735, which acts as a crucial demand zone. On the upside, immediate resistance is seen around ₹770–780, and a decisive break and sustain above this zone could signal a fresh uptrend, opening the path towards higher levels,” said Tailor.
“Short-term traders may consider buying near current levels with a stop loss at ₹730 for a target of ₹825, subject to disciplined risk management,” Tailor said.
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, 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.