Top three stocks to buy today—recommended by Ankush Bajaj for 8 January

The Sensex dropped 102 points, or 0.12%, to end at 84,961.14, while the Nifty 50 settled at 26,140.75, down 38 points, or 0.14%. The mid and small-cap indices outperformed. The BSE Midcap and Smallcap indices rose 0.47% and 0.12%, respectively.

Three Stocks to Buy Today, Ankush Bajaj’s Recommendations

Buy: Titan Company Ltd

Why it’s recommended: Titan continues to display strength within its uptrend, supported by robust trend structure and rising buying interest in consumption-heavy counters. The RSI at 58 signals healthy bullish momentum without being overbought, while the MACD at +20 shows a strong positive crossover that reinforces the continuation of upward price movement. The ADX at 42 confirms a well-established and strengthening trend, suggesting sustained investor participation. Price action near the top of its short-term range hints at a potential breakout.

Key metrics:

RSI (14-day): 58 — bullish and supportive

MACD (12,26): +20 — strong crossover, bullish bias

ADX (14): 42 — powerful trend confirmation

Technical view: As long as the stock holds above ₹4255, bullish bias remains intact with a potential move toward ₹4305.

Risk factors: Vulnerable to fluctuations in discretionary spending and seasonal sales dynamics.

Buy at: ₹4273.20

Target price: ₹4305

Stop loss: ₹4255

Buy: National Aluminium Co. Ltd (NALCO)

Why it’s recommended: NALCO is holding strong within the broader metals rally, supported by steady trend development. The RSI at 57 shows ongoing positive momentum, while the MACD at +1.2 has maintained a clean crossover supporting the bullish setup. The ADX at 31 reflects a well-defined trend in motion, suggesting that the current rally has structural support. Given the underlying commodity strength, the stock could push toward higher levels.

Key metrics:

RSI (14-day): 57 — bullish zone

MACD (12,26): +1.2 — upward momentum building

ADX (14): 31 — trend strength confirmed

Technical view: Sustaining above ₹349 can lead to a near-term rise toward ₹360.

Risk factors: Highly correlated to global aluminium prices and export policy fluctuations.

Buy at: ₹352.60

Target price: ₹360

Stop loss: ₹349

Buy: The Phoenix Mills Ltd

Why it’s recommended: Phoenix Mills is attempting a base formation near its short-term support, indicating a potential bounce-back. The RSI at 45 shows neutral momentum with room for upside, while the MACD at –1 suggests the stock is emerging from consolidation. The ADX at 15 reflects a weak trend, but any uptick in volumes or sentiment could trigger fresh buying from these levels.

Key metrics:

RSI (14-day): 45 — neutral with upside potential

MACD (12,26): –1 — consolidation nearing reversal

ADX (14): 15 — early trend development phase

Technical view: A sustained hold above ₹1930 could push prices toward ₹1975.

Risk factors: Sensitive to real estate policy changes and consumer footfall trends in malls.

Buy at: ₹1942

Target price: ₹1975scr

Stop loss: ₹1930

Market Recap

On Wednesday, 7 January, the Indian equity market displayed a cautious yet constructive tone, as benchmark indices consolidated amid selective buying and sector-specific action. The Nifty 50 declined by 37.95 points or 0.14% to close at 26,140.75, while the Sensex eased 102.20 points or 0.12% to settle at 84,961.14. Despite the marginal downside, the broader sentiment reflected an effort by the market to stabilize after recent volatility, supported by stock-specific participation.

The banking space showed signs of consolidation rather than weakness, with the Bank Nifty slipping 127.55 points or 0.21% to end at 59,990.85. The movement suggested selective accumulation in financial stocks as participants evaluated valuations following the recent corrective phase.

Sectoral trends remained mixed but constructive. The Pharma index outperformed sharply, registering a strong gain of 3.93%, followed by the Healthcare index, which advanced 1.96%, indicating defensive buying and renewed interest in healthcare-related themes. On the flip side, pressure was observed in cyclical pockets, with the Auto index declining 1.19%, Oil and Gas slipping 0.66%, and the Infrastructure index closing lower by 0.50%.

Stock-specific activity continued to drive intraday momentum. Titan surged 3.93%, while IT counters such as Wipro and HCL Tech gained 1.96% and 1.94% respectively, reflecting selective buying interest. Meanwhile, profit booking was evident in select heavyweight names, with Cipla declining 4.11%, Maruti easing 2.79%, and Power Grid slipping 1.66%, which slightly capped the overall upside during the session

Nifty Technical Outlook – 8 January

The Nifty ended the session on a mildly negative note, slipping 37.95 points to close at 26,140.75, marking a decline of 0.14%. On the daily chart, the index is seen trading within a rising wedge pattern, with price currently hovering near the lower support trendline. While this pattern often indicates a potential reversal, confirmation is awaited.

From a daily indicator standpoint, the momentum remains neutral. The Relative Strength Index (RSI) stands at 53.96, suggesting the index is neither overbought nor oversold. The MACD, however, remains in buy mode with a reading of +71.35, reflecting continued underlying strength, albeit with decreasing momentum.

On the flip side, Momentum (10) has turned negative at –36.40, indicating a slowdown in short-term price strength. The Average Directional Index (ADX) is still subdued at 12.14, pointing to the absence of a strong directional trend. Most other oscillators like Stochastic, CCI, and the Ultimate Oscillator are in neutral zones, reinforcing a phase of potential consolidation or indecision.

Nifty continues to hold above its 20-DMA (26,039) and 40-DEMA (25,974), which may act as short-term support levels. A close below these levels could accelerate downside, while any bounce from here would need to clear the 26,200–26,250 zone for bullish continuation.

On the hourly timeframe, technical indicators reflect a slightly bearish undertone. The RSI has cooled down to 45, suggesting weakening momentum. The MACD has turned negative at –19, indicating a short-term bearish crossover. Price action is currently trading below the 20-hour moving average (26,195) and the 40-hour moving average (26,166), reinforcing the pressure on the index.

Furthermore, the options data reveals a bearish setup in the near term. The Call Open Interest (OI) stands significantly higher at 13.21 crore compared to Put OI at 9.91 crore, resulting in a negative OI differential of –3.30 crore. The highest Call OI buildup is seen at the 26,200 strike, which is acting as a firm resistance level. On the Put side, the highest concentration is at the 25,500 strike, indicating that traders expect support around that level. While there is active change in both CE and PE OI, the net change is tilted toward calls, supporting a mildly bearish tone.

In conclusion, the Nifty appears to be at a critical juncture. While the medium-term structure is still intact, short-term signals suggest caution with momentum slowing down. A close below 26,000 could open doors for further downside toward 25,850–25,750, while a breakout above 26,200–26,250 is needed to re-establish strong bullish momentum.

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.