Stocks to buy for the short term: The Nifty staged a solid rebound on Monday, 27 July, ending 1% higher at 23,996, above the 55-day EMA (exponential moving average) near 23,980, reflecting strengthening bullish momentum.
Experts highlight that a decisive close above 23,900 has negated the recent short-term bearish bias and improved the overall chart structure.
Vishnu Kant Upadhyay, AVP-Research at Master Capital Services, noted that the index is now trading above its key short-term moving average, indicating sustained buying interest and positive price action.
“Going ahead, 23,600 remains immediate support, while the 23,850-23,900 zone is likely to attract buying on dips. On the upside, the 100-day EMA near 24,140, coinciding with a declining trendline, remains the key resistance to watch,” said Upadhyay.
Stock picks for the short term
Vishnu Kant Upadhyay of Master Capital Services and Hitesh Tailor of Choice Broking recommend the following six stocks to buy for the next 1-2 weeks.
Expert: Vishnu Kant Upadhyay, AVP- Research at Master Capital Services
Bharat Heavy Electricals (BHEL) | Buy at ₹416 | Target prices: ₹447 and ₹456 | Stop loss: ₹390
Upadhyay pointed out that BHEL shares registered a decisive all-time high breakout after consolidating within a symmetrical triangle, reaffirming the continuation of its primary uptrend.
The breakout was supported by a sharp rise in volumes, highlighting strong buying participation.
Following the breakout, the stock witnessed a healthy pullback towards the ₹410 support, where it also tested the 21 EMA before rebounding sharply, indicating strong buying interest at lower levels and validating the breakout.
Moreover, the stock continues to trade comfortably above all its key moving averages while maintaining a strong higher high, higher low structure.
L&T Finance | Buy at ₹312 | Target price: ₹336 and ₹348 | Stop loss: ₹294
Upadhyay underscored that the L&T Finance share price witnessed a sharp rebound after retracing towards the crucial support around ₹305, highlighting strong buying interest at lower levels following its earlier all-time high breakout above ₹330 from an ascending triangle pattern.
The recovery has also helped the stock reclaim its 21-day EMA, reinforcing short-term strength.
The broader chart structure remains positive with a sustained pattern of higher highs and higher lows.
RSI has cooled to 56, indicating improving risk-reward and leaving room for the medium-term uptrend to extend.
Narayana Hrudayalaya | Buy at ₹2,054 | Target prices: ₹2,200 and ₹2,250 | Stop loss: ₹1,950
As per Upadhyay, Narayana Hrudayalaya share price has confirmed a decisive breakout above the long-standing resistance near ₹2,045, backed by a strong bullish Marubozu candle and healthy volume expansion, signalling fresh accumulation.
The broader trend remains firmly positive, with the stock consistently forming higher highs and higher lows while sustaining above all its key moving averages.
This reflects strong underlying buying strength and a well-established medium-term uptrend.
Additionally, RSI has moved up to 60, indicating improving momentum and leaving room for the rally to extend further.
Expert: Hitesh Tailor, Technical Research Analyst at Choice Broking
Mahindra and Mahindra (M&M) | Buy at ₹3,239 | Target price: ₹3,500 | Stop loss: ₹3,100
As per Tailor, Mahindra and Mahindra share price is showing improving bullish momentum after breaking above its recent consolidation zone and sustaining above the breakout level, indicating renewed buying interest.
The stock has closed above its 200-day EMA resistance and is now trading above all key EMAs, signalling a positive shift in trend.
It is also forming a higher high–higher low structure after a prolonged accumulation phase near the lows, reflecting strengthening bullish momentum.
RSI is at 57.93 and has moved above the midpoint, indicating improving momentum with scope for further upside.
“Traders may consider buying the stock at ₹3,239 with a strict stop loss at ₹3,100 for a potential upside target of ₹3,500, while maintaining disciplined risk management,” said Tailor.
Lodha Developers | Buy at ₹1,199 | Target price: ₹1,350 | Stop loss: ₹1,124
As per Tailor, Lodha Developers share price is exhibiting strong bullish momentum after registering a decisive breakout above a long-term falling trendline, accompanied by a breakout from a broad horizontal consolidation range, signalling a significant improvement in the overall price structure.
The stock has successfully retested the breakout zone near its 20-day EMA and resumed its upward move, highlighting strong buying interest at lower levels.
The price action is also developing a bull flag continuation pattern, suggesting the prevailing uptrend is likely to extend further.
In addition, the bullish EMA crossover reinforces the positive trend, while RSI at 67.23 remains comfortably above the midpoint, indicating sustained momentum.
“The current chart structure favours a bullish outlook, with buying opportunities near ₹1,199, targeting ₹1,350, while maintaining a strict stop loss at ₹1,124,” said Tailor.
SBI Cards and Payment Services | Buy at ₹645 | Target price: ₹710 | Stop loss: ₹610
Tailor said SBI Cards and Payment Services shares are showing early signs of bullish momentum after breaking above their previous lower high, indicating an improvement in the short-term price structure and the possibility of a trend reversal.
The stock has closed above its 20-day and 50-day EMAs, reflecting strengthening buying interest and improving trend alignment.
RSI is moving higher at 58.68, signalling positive momentum, while the MACD has given a bullish crossover and is trading in positive territory, reinforcing the constructive outlook.
“The improving technical structure supports a positive short-term outlook, with ₹710 emerging as the immediate upside objective. Long positions can be considered around ₹645, while ₹610 should be maintained as a strict stop loss,” said Tailor.
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Disclaimer: This article is for educational purposes only and does not constitute investment advice. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
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