Ruchit Jain of Motilal Oswal suggests Siemens Energy, Ipca Lab shares to buy for the short term

Stock market today: Indian benchmark indices opened lower on Wednesday as rising global bond yields and continued uncertainty surrounding the Iran conflict triggered fresh pressure on emerging markets. The rupee also weakened to a fresh record low for the seventh straight session amid persistent foreign outflows.

The Nifty 50 declined 0.22% to 23,566.05, while the Sensex fell 0.27% to 74,996.58 as of 11:20 IST.

The rupee slipped to 96.8650 against the US dollar, breaching its previous lifetime low of 96.6150 touched in the prior session. The currency has now weakened by nearly 6% since the Iran war began on 28 February.

Asian stock markets declined for the fourth straight session as investors remained wary ahead of earnings reports from AI chipmaker Nvidia, amid concerns about rising global borrowing costs.

At the same time, government bond yields in both the US and Japan reached levels not seen in decades, driven by high crude oil prices and the ongoing conflict in Iran, which have heightened global inflation concerns.

Market Review and Outlook - Ruchit Jain, Head - Equity Technical Research, Wealth Management, Motilal Oswal Financial Services

The Nifty 50 has recently been consolidating in a broad range of 23,300-23,900. This seems to be a time-wise correction, as global factors such as rising bond yields, rising Brent Oil Prices, and a depreciating INR have been weighing on market sentiment. The directional move in the index is expected only on a breakout on either side of this range; until then, traders should focus on stock-specific moves.

Shares to buy or sell in the near-term - Ruchit Jain

On shares to buy or sell in the near-term, Ruchit Jain recommends Ipca Laboratories Ltd, and Siemens Energy India Ltd.

Siemens Energy

The stock had recently broken out of a bullish cup-and-handle pattern. The neckline resistance is now acting as a support on declines, and the stock seems to be resuming its broader uptrend. Hence, short-term traders can look to buy the stock at ₹3,280-3,300, with a potential target of around ₹3,600. The stop loss on long positions should be placed below ₹3,130.

IPCA Labs

The pharma sector has seen a positive trend after a consolidation phase of more than 18 months. IPCA Labs, too, has given a consolidation breakout with rising volumes, and the RSI oscillator is hinting at a continuation of the positive momentum. Hence, short-term traders can look to buy the stock in the range of ₹1,650-1,640, with a potential target of around ₹1,744. The stop loss on long positions should be placed below ₹1,600.

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.