Vinay Rajani of HDFC Securities suggests these stocks to buy for short-term

Stock market today: The domestic benchmark indices, Nifty 50 and Sensex, began the day on a flat note in the green on Monday following a sharp decline the previous week, as investor sentiment remained subdued due to US President Donald Trump's tariff regulations on the pharmaceutical sector and their repercussions for India.

At 12:02 IST, the benchmark indices were flat where the Nifty 50 index was at 24,646 . 80, falling by 8.50 points, while the BSE Sensex was at 80,373.13, down by 48.11 points.

Market analysts observed that this week is expected to witness significant activity in the primary markets, with numerous IPOs set to open and several listings planned, indicating an IPO-centric week. Nonetheless, they also warned that the pressure on secondary markets might persist, particularly affecting IT stocks.

Market Views - Vinay Rajani, Senior Technical and Derivative Analyst, HDFC Securities

Nifty 50

The Nifty 50 index has experienced a significant downturn, registering a decline of over 800 points from its recent swing high of 25,448 to a low of 24,629. This correction confirms a shift in momentum, as Nifty 50 has now breached its crucial short-term support levels: the 20 DEMA (currently at 24,970) and the 50 DEMA (currently at 24,911).

Today's price action remained contained entirely within Friday's trading range, creating an Inside Bar candle pattern on the daily chart. This pattern often signals an impending sharp move and, in this context, raises the probability of a temporary pullback rally toward the resistance zone of 24,911-24,970.

However, the positional trend for Nifty 50 has clearly turned bearish. Any such pullback rallies should be viewed as opportunities for traders to reduce long commitments. On the downside, the zone between 24,400 and 24,500 is expected to offer the next significant support. A definitive break below the 24,400 level could trigger a fresh round of selling, potentially dragging Nifty 50 further down toward the 23,900 mark. Given this negative outlook, traders should adopt a stock-specific bullish approach and must enforce tight stop-loss orders to manage risk effectively.

Stock Picks

Buy RBL Bank ( ₹279) | Target ₹292 | Stop-loss ₹272

RBL Bank share price has broken out from last three week’s price consolidation. Price breakout is accompanied with rise in volumes. Stock is placed above all key moving averages, indicating uptrend on all time frames. Daily RSI is sustaining above 50, indicating sustained uptrend for the underlying. Daily MACD is placed above its signal line.

Buy BSE ( ₹2,100) | Target ₹2,250 | Stop-loss ₹2,000

BSE share price has formed Doji candlestick pattern on the daily chart and has reversed north after that. Oscillators have turned oversold on the short-term charts. Stock price is hovering around long-term support of 200 DEMA.

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