Markets
Stocks to buy—12 February: Ankush Bajaj recommends three stocks for today
Summary
- Stocks to buy today: As Nifty returns near the 23,000 level, Ankush Bajaj has three stocks recommendations for today
Market recap for 11 February: A bearish turn for Indian equities
The Indian stock market witnessed a sharp decline on Tuesday, as initial bullish attempts failed to sustain, giving way to bearish dominance in the latter half of the session. Both Nifty 50 and Bank Nifty faced considerable losses, reflecting weak market sentiment amid growing global concerns.
The Nifty 50 index closed at 23,071, down by 309.80 points (-1.32%), while Bank Nifty slipped 577.60 points (-1.16%) to settle at 49,403.40. The broader market weakness was evident as no sector managed to close in the green, indicating a widespread sell-off.
Sectoral performance: A day of losses
The market rout was led by the energy sector, which fell 3.2%, followed by PSU banks (-3%) and the auto sector (-2.22%). This sectoral weakness highlights the growing concerns among investors, possibly driven by external economic factors and profit booking after the recent rally.
Also Read: FPIs dumped Indian financial stocks in January. But not all is bad for the sector.
Stock-specific performance: Few gainers amid heavy losses
Despite the bearish sentiment, a few stocks managed to close in positive territory. Adani Enterprises led the gainers with a 1.35% rise, followed by Grasim Industries (+0.74%) and Trent (+0.61%). These stocks showed resilience, likely backed by strong fundamentals or sector-specific positive triggers.
On the other hand, several heavyweight stocks faced significant losses. Eicher Motors was the worst performer, tumbling 6.80%, followed by Apollo Hospitals (-6.57%) and Shriram Finance (-3.97%). The sharp decline in these stocks contributed to the overall weakness in the market.
Stock market outlook
After a pullback to 23,800, Nifty has returned to the 23,000 level, showing consistent selling pressure across all time frames. Additionally, major EMAs are signalling a short trend, reinforcing the bearish sentiment. If 22,800 is breached, we might see 22,550-22,400 levels soon in Nifty.
For the current weekly expiry, the max open interest is at 22,700 on the put side and 23,500 on the call side, indicating a wide range-bound movement. This suggests that we might witness high volatility in the coming two days.
Also Read: Five most undervalued stocks that are too cheap to ignore
Three stocks to buy, recommended by Ankush Bajaj
Crisil: Buy at ₹5,349 | Target ₹5,850-5,890 | Stop loss ₹5,088
The stock gained 4% yesterday and has broken the upper channel of a falling wedge on the hourly chart. The breakout happened with strong volume, indicating bullish momentum. If sustained, this setup suggests a potential 10-15% move in the coming days. Watch for follow-through and confirmation before entry into the stock.
Cholamandalam Financial Holdings: Buy at ₹1,512 | Target ₹1,605-1,625 | Stop loss ₹1,460
Yesterday, after an initial sell-off, the stock rebounded with strong volume. Taking a trade with a small stop loss as RSI divergence is visible on the hourly chart. The setup indicates potential upside if momentum sustains. Watch the key resistance levels for confirmation.
India Cements: Buy at ₹278 | Target ₹305-320 | Stop loss ₹252
The stock is showing demand near the ₹250- ₹270 zone, which was a major resistance before breaking out to ₹380. Now, the stock has retraced to the same zone, which may act as a strong demand area. If buyers step in, a potential rebound from this level is likely. Watch the price action for confirmation before entering a trade.
Ankush Bajaj is a Sebi-registered research analyst. His registration number is INH000010441.
Investments in securities are subject to market risks. Read all the related documents carefully before investing.
Registration granted by Sebi and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.
