Stocks to buy: Nagaraj Shetti recommends Poly Medicure, Oil India shares to buy

Stock market today: The domestic benchmark indices, Nifty 50 and Sensex, were largely unchanged on Thursday after experiencing four consecutive days of losses, as ongoing foreign investment withdrawals and new U.S. visa restrictions kept investors cautious.

The Nifty 50 declined by 0.29% to reach 24,983 . 15, while the BSE Sensex fell by 0.33% to 81,494.12 as of 12:15 IST.

Investor confidence diminished following the U.S. government's decision to impose a $100,000 fee on new H-1B visa applications, which raised worries about increased expenses for Indian IT companies that derive a significant portion of their revenue from the U.S. market.

On Wednesday, foreign portfolio investors offloaded equities worth 24.26 billion rupees ($273.43 million), resulting in a total net outflow of $1.32 billion for September.

Experts suggest that the markets are being pressured by U.S. tariffs, changes in visa policies, and ongoing foreign selling. Although a brief recovery may be on the horizon following the recent downturn, any significant upward movement is likely to be limited until there is noticeable improvement from private banks and the IT sector.

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

Nifty 50

The downside momentum continued in the market for the fifth consecutive sessions on Thursday and Nifty 50 is trading lower by 42 points, as of now. Though, Nifty 50 declined from the crucial hurdle of around 25,500 levels recently but the sharp selloff was not seen during this downtrend. The market is nearing an important cluster support around 24,900 levels (ascending trend line and 10week EMA) and one may expect possibility of buying emerging from the lows. However, a decisive move above the immediate hurdle of 25,100-25,150 levels could confirm bottom reversal pattern.

Technical Picks: Stocks to buy in the short-term

Nagaraj Shetti of HDFC Securities recommends these two stocks to buy in the short-term - Poly Medicure, and Oil India shares to buy.

Buy Poly Medicure at ₹2,045, Target at ₹2,150, Stoploss at ₹2,000, Timeframe 1 week.

Poly Medicure share price has been in a larger consolidation pattern over the last few weeks and is now in an attempt of breakout of range bound movement. We observe a formation of higher bottom at ₹1,931 levels recently and the stock price is in an attempt of breakout of down sloping trend line resistance around ₹2,100 levels.

Buy Oil India at ₹420.20, Target at ₹445, Stoploss at ₹405, Timeframe 1 week.

The few weeks range bound action in Oil India share price has eventually resulted in a sharp upside breakout on Thursday and the stock is currently trading higher. The breakout in the stock price is associated with rise in volumes and daily 14 period RSI shows positive indication.

Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.