Best stocks to trade today, 8 May: Recommended by Raja Venkatraman

Stock market on 7 May

After some early nerves, the Indian stock market shed the anxiety that was felt across the country on Wednesday, indicating that the trends remain bullish. At the end of the session the Sensex was up 106 points or 0.13% at 80,747. The Nifty gained 34.80 points or 0.14% to touch 24,414.40.

The rupee weakened, finishing the day at 84.84 per US dollar—a 0.47% decline from its previous close of 84.49. The yield on 10-year government bonds dropped by 1 basis point, from 6.351% 6.338%.

Outlook for trading

From the daily charts we can conclude that we are still in a “buy on dips and sell on rallies" market. Going into today, we are on uncertain footing and may encounter challenges around 24,500-24,600. With lower levels continuing to provide meaningful support, one can expect them to come into play again. We can abandon the buy-on-dips strategy until we get a close above 26,000. Also, open interest data now shows that call writing around 24,500 levels continues to hold sway while 24,300 is showing signs of holding back the bearishness.

Also read: Marico’s margin pain will linger for some time

The range is getting tighter and the readings from the option data suggests PCR has moved to 0.85, highlighting that the market is seeing a selloff at every rise. As we mentioned, the combination of global tariff threats, cautious investor sentiment and domestic economic challenges contributed to the sharp market decline and volatility in the rupee.

The market seems unable to find enough strength to continue its upward march. With the Nifty continuing to hold around 24,300, we can expect momentum to rise as long as this level is not violated. Steady buying on dips has once again given people a reason to hold on to bullish sentiment for now. With no clarity on the future course of action we should be looking at participating with a neutral bias.

Trends remain two-phased and require us to balance either side. The situation demands a pragmatic approach.

Results season is underway, but with macro factors driving up volatility, we need to see how we can navigate the current trends. While the market continues to offer umpteen opportunities, sector rotation will be at work. Hence, we have selected candidates that are seeing steady action from both sides until new signals to the contrary emerge.

Also read: Another solid year for Coforge given strong deal pipeline? Yes, but…

Three stocks to trade today, recommended by NeoTrader’s Raja Venkatraman

ASTRAL (CMP 1287.40)

Sell below ₹1,280 and rallies to ₹1,310, stop ₹1,330, target ₹1,200-1,150

• Why it’s recommended: Astral stock has faced pressure due to concerns around demand fluctuations in the building materials sector, rising raw material costs, and competitive pricing dynamics. While the company has maintained strong revenue growth, profitability has been hit by elevated operational costs and mixed performance across segments.
• Key metrics:
  • P/E: 50
  • 52-week high: ₹2,357
  • Volume: 1.1M
• Technical analysis: Support at ₹1,100, resistance at ₹1,325
• Risk factors: Exchange rate fluctuations, crude oil price fluctuations, and real estate market conditions
• Sell: Below ₹1,280 and rallies to ₹1,310.
• Target price: ₹1,125-1,090 in one month
• Stop loss: ₹1,330

RRKABEL (CMP 1231.30)

Buy at CMP and dips to ₹1,205, stop ₹1,190, target ₹1,325-1,375

• Why it’s recommended: RRKABEL has demonstrated strong revenue growth, particularly in its wires and cables segment, and is expected to continue its upward trajectory.Firm buying emerged after the company reported a 64% YoY increase in its profit in Q4 FY25 at ₹129.1 crore. The company had earned a net profit of ₹78.7 crore in Q4 FY24.
• Key metrics:
  • P/E: 42
  • 52-week high: ₹2,348.75
  • Volume: 890K
• Technical analysis: Support at ₹1,078, resistance at ₹1,400
• Risk factors: Supply chain disruptions, raw material price fluctuations, and potential inadequacy of insurance coverage
• Buy at: CMP and dips to ₹1,205
• Target price: ₹1,325-1,375 in one month
• Stop loss: ₹1,190

Piramal Enterprises Ltd (CMP 1034.60)

Buy on dips to ₹995, stop ₹970, target ₹1,100-1,145

• Why it’s recommended: The company missed estimates in Q4 but the market has absorbed the negative commentary and the stock is seeing some strong buying interest. As there is no visible erosion in prices post-consolidation, we can look for some trend moves in the coming days.
• Key metrics:
  • P/E: 45.39
  • 52-week high: ₹1,275
  • Volume: 1.03M
• Technical analysis: Support at ₹900, resistance at ₹1,200
• Risk factors: Asset quality issues, rising cost of funds, and regulatory changes
• Buy on: Dips to ₹995
• Target price: ₹1,100-1,145 in one month.
• Stop loss: ₹970

Also read: Can M&M keep its pace in FY26?

Raja Venkatraman is co-founder, NeoTrader. His Sebi-registered research analyst registration no. is INH000016223.

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 guarantees 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.