Bajaj Finserv to Union Bank - Jay Thakkar suggests 3 stocks to buy or sell for short-term in F&O segment

Stock market today: The domestic benchmark indices were largely flat in early trade on Wednesday as renewed tensions between the United States and Iran dampened investor sentiment and tempered hopes of a lasting ceasefire in the Middle East.

At 9:15 IST, the Nifty 50 was down 0.04% at 23,233.95, while the BSE Sensex edged up 0.09% to 73,988.27.

The muted opening follows a stronger session on Tuesday, when both the Sensex and Nifty gained about 0.5%, supported by the Reserve Bank of India's foreign exchange swap facility for banks' overseas foreign-currency borrowings and a temporary easing of geopolitical tensions.

However, sentiment turned cautious again after the US launched strikes against Iran, following President Donald Trump's claim that Tehran had shot down a US Apache helicopter in the Strait of Hormuz.

The renewed conflict weighed on regional markets, with broader Asian equities declining 1.8%. Meanwhile, Brent crude oil rose about 1%, rebounding from a seven-week low touched in the previous session.

Higher crude oil prices remain a key concern for India, the world's third-largest oil importer, as they can slow economic growth, pressure corporate profit margins, widen the trade deficit, and add to inflationary pressures.

Market Outlook by Jay Thakkar, Vice President & Head of Derivatives and Quant Research, ICICI Securities

Nifty 50

Nifty 50 has closed in the positive territory on the day of the weekly expiry, taking support near the 61.8% retracement levels and its previous swing low. Closing above 23200 indicates a higher upside probability.

Now, the BankNifty too has provided a very strong breakout from the falling trendline, with a decrease in OI indicating short covering. The Nifty 50 has a short-term hurdle around 23,550, which is acting as strong resistance; above that, there is a higher chance of a breakout, which could take it to 24,000. The India VIX has fallen again in the last trading session, back below 16, and closed well below 16, suggesting decreasing fear and a higher chance of short covering.

Also, the net short in the Index by the FIIs has gone up again to 2.75 lakh contracts whereas in the previous decline it was at 2.90 lakh contracts, so from the derivatives perspective the market looks too oversold and the cumulative put base for the June series is at 23,000 strike which appears to be a short term support on the immediate basis, hence for the short term traders 23,950 should be the stop loss on a closing basis for the targets of 23,550, 23,800 and eventually 24,000 levels.

Stocks To Buy in the near-term - Jay Thakkar

Jay Thakkar of ICICI Securities recommends Bajaj Finserv Futures, Union Bank Futures, and Divis Laboratories Futures.

Buy Bajaj Finserv Fut in the range of ₹1,690-1,705, stop loss below ₹1,650 and Targets of ₹1,780-1,820

Bajaj Finserv has found support near its previous swing low, and there has been short covering, which has brought down the overall leverage in the stock. The stock has the call base at 1,700 and has just surpassed that level; hence, further short covering is expected, which could take this stock to 1,780,the next call base. There have been good puts added at the 1,600-1,700 strike, which will act as support.

Buy Union Bank Fut in the range of ₹170-172, stop loss below ₹166, and Targets of ₹177 - 182

Union Bank has formed a nice base that looks like a rounding bottom pattern, and there have been too many shorts accumulated recently; hence, with a breakout above its previous swing high, there is a higher likelihood of short covering. The stock has closed well above 170 levels, and there have been good put additions from 160-170 levels; hence, this will act as support, and it has also closed above its max pain level of 167.50.

Buy Divis Labs fut in the range of ₹6,790-6,810, stop loss below ₹6,740, and Targets ₹6,875-6,920

Divis Labs has been forming higher tops and bottoms once again, with an increase in OI in the futures segment, which indicates longs have built up. There has been a strong up move in the Pharma sector, and it has been an overall outperforming sector in the recent past. Divis Labs, too, has been trading with a positive bias, and now the stock is also trading above its max pain level of 6,700, which will act as strong support. As per the options data, there have been aggressive put additions at 6,500 and 6,600 strikes, which is also a positive sign.

Disclaimer: The Research Analyst or his relatives or I-Sec do not have actual/beneficial ownership of 1% or more securities of the subject company, at the end of 09/06/2026 or have no other financial interest and do not have any material conflict of interest.

The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.