Stocks to buy: Nagaraj Shetti recommends Elecon Engineering, Bank of India shares to buy in the short-term

Stock market today: Indian equity markets witnessed a volatile trading session on Thursday, 11 June, with benchmark indices recovering from early losses amid heightened geopolitical tensions in the Middle East.

Investor sentiment remained cautious after fresh US-Iran tensions triggered a sharp rise in crude oil prices, raising concerns over inflation and India's import bill. The Sensex and Nifty 50 initially traded in the red, weighed down by weakness in IT and export-oriented stocks, but later pared losses as buying emerged in private banks, pharma and healthcare counters.

Market participants continued to monitor developments around the Strait of Hormuz, a key global oil transit route, as any prolonged disruption could further impact global risk appetite and domestic markets.

At 12:55 IST, the Sensex rose 263.33 points to 74,246.51. The Nifty 50 gained 84.55 points to 23,302. 80.

Market Views - Nagaraj Shetti, Senior Technical Research Analyst of HDFC Securities

Nifty 50

Nifty 50 continued to slide down amidst choppy movement on the back of rising geo-political tension and is currently trading lower by 70 points. Though, placed near the strong support around 23,100 levels (previous significant opening upside gap of 8th April), the market has failed to sustain the highs so far. At the same time the crucial lower supports were also protected with reasonable bounce back from the lows. Hence, there is a possibility of broader range movement for Nifty 50 between the support and resistance of around 23,000-23,500 respectively in the near term.

Buy Elecon Engineering Company Ltd at ₹526, Target at ₹555, Stoploss at ₹512, Timeframe 1 week

Elecon Engineering share price has been moving up gradually as per bullish pattern like higher highs and lows. We observe a formation of triangle type pattern and the stock price has been in an attempt of sharp breakout of the pattern around ₹526-527 levels. Daily 14 period RSI shows positive indication.

Buy Bank of India at ₹143.75, Target at ₹151, Stoploss at ₹139.50, Timeframe 1 week

The consolidation movement of the last couple of months is now on the verge of a breakout. After a sharp upside recently, the Bank of India share price has been consolidating over the last couple of sessions, preparing a base for a bounce back. Volume pattern and RSI indicates positive bias for the stock price ahead.

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.