Stocks to buy for short term: From Paytm to Indian Bank— Ajit Mishra of Religare Broking suggests 3 names
The Nifty 50 ended 0.63 per cent down at 25,062 on Thursday, July 24. The index is now down about 2 per cent for the month, looking set to snap its four-month winning streak.
Ajit Mishra, SVP of research at Religare Broking, pointed out that the Nifty has failed to cross the resistance at 25,250, reflecting a cautious sentiment among participants.
He underscored that given the mixed signals, investors should maintain a stock-specific approach and adopt a hedged strategy.
Stock picks for the short term
Mishra suggests buying shares of Paytm, Indian Bank, and Jindal Steel for the short term.
One 97 Communications (Paytm) | LTP:
₹ 1,106.25 | Buy | Target price:
₹ 1280 | Stop loss:
₹ 1,010
Mishra pointed out that Paytm displays a classic multi-year bottoming reversal pattern.
After a prolonged downtrend, the stock formed a broad base over several quarters, with notable volume accumulation evident near the bottom.
The breakout above the horizontal resistance zone (near ₹1,000) marks the completion of this multi-year reversal structure.
The price has now convincingly crossed the 20-week and 200-week EMAs, a significant bullish development signalling a shift in long-term sentiment.
Additionally, the breakout is accompanied by notable volume spikes, validating the move with institutional buying interest.
"The structure suggests a new long-term uptrend may be underway, with upside targets potentially extending toward ₹1,300 in the near term," said Mishra.
Paytm technical chart
Indian Bank | LTP:
₹ 652.15 | Buy | Target price:
₹ 705 | Stop loss:
₹ 625
Indian Bank showcases a structurally strong technical setup. After a pronounced uptrend marked by higher highs and higher lows, the stock entered a broader consolidation phase, forming a rectangular range between ₹500 and ₹650 levels.
This sideways movement served as a healthy base-building process.
A recent breakout above the consolidation zone, coupled with sustained closes above the 20-week EMA ( ₹590), confirms a resumption of the primary uptrend.
The pivot breakout has been supported by rising volumes, indicating institutional participation.
Indian Bank technical chart
Jindal Steel & Power | LTP:
₹ 1,000.45 | Buy | Target price:
₹ 1,070 | Stop loss:
₹ 975
Mishra underscored that the metal space has been performing well, with most stocks participating in the up move on a rotational basis.
Jindal Steel & Power recently staged a strong rebound from the ₹850 level, followed by a breakout above the descending trendline that had capped the price for months.
This signals a possible end to the intermediate downtrend and a resumption of the primary bullish trajectory.
The breakout from the tight rectangular consolidation, along with increasing volumes, reinforces the bullish outlook.
"The price is now trading above the 20-week EMA ( ₹930), which has begun sloping upward—another confirmation of a trend reversal. The successful retest and rebound from the trendline support further strengthen this setup," said Mishra.
Jindal Steel technical chart
Read all market-related news here
Read more stories by Nishant Kumar
Disclaimer: This story is for educational purposes only. 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.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
20 minutes ago
- Economic Times
Nifty logs longest weekly losing run since 2020 crash. Here's how
Indian markets extended losses for the sixth straight week—longest since April 2020—as US tariff hikes, weak earnings, and persistent FII outflows weighed on investor sentiment. Exporters, especially in textiles and seafood, were hit hardest amid trade tensions. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads FIIs dump Indian stocks Technical indicators point to more weakness Banking sector offers little respite Muted Q1 earnings add to gloom Tired of too many ads? Remove Ads India's benchmark indices, the Nifty 50 and Sensex, logged their sixth straight weekly loss, marking their longest losing streak since the COVID-19 crash of April 2020, as both fell nearly 5% since end-June, weighed down by U.S. tariff hikes, weak earnings, and relentless foreign investor outflows that triggered a broad-based Friday, the Nifty 50 fell 0.95% to 24,363.30, while the Sensex declined 0.95% to close at 79,857.79. For the week, they shed 0.8% and 0.9%, respectively. The continued decline reflects persistent selling pressure across sectors, with little sign of relief amid deteriorating global trade relations and muted domestic shock hits exportersExport-oriented stocks led the rout after U.S. President Donald Trump announced a sharp escalation in trade tensions, doubling tariffs on Indian exports to 50%. The move, retaliation for India's continued oil trade with Russia, delivered a fresh blow to investor Stanley warned the Indian seafood export industry alone could face a potential loss of Rs 24,000 crore. 'Indian textile and apparel exporters are halting US order manufacturing due to President Trump's tariff doubling to 50%, severely impacting their competitiveness against nations like Bangladesh and Vietnam,' the brokerage said, forecasting 'export decline, job losses, and overall uncertainty in the sector.'Beyond textiles and seafood, exporters in gems and jewellery, chemicals, and auto ancillaries are now grappling with halted orders and squeezed selloff intensified as foreign institutional investors (FIIs) remained net sellers for the tenth straight session. On August 7 alone, FIIs pulled Rs 4,997.19 crore from Indian equities, taking August's total outflows to over Rs 15,950 crore. Since July, the exodus has crossed $4 billion.'FIIs have sold on all trading days of August, so far,' said Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services . 'These weak indicators, along with the relatively high valuations in India, are triggering sustained selling by the FIIs.'Vijayakumar said, 'In the present context of negative sentiments in the market caused by the tariff skirmishes between India and the U.S., FIIs are likely to continue selling in the cash market.' However, he noted that 'the only saving grace is the sustained DII buying which remains strong. The strong DII buying assisted by sustained flows into mutual funds can prevent a crash in the market.'Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities, noted that the Nifty has formed a bearish candle with a long upper shadow for four consecutive weeks—'signaling that every attempt at a rally is being met with strong selling pressure, indicating a lack of conviction among bulls and a clear dominance of bears at higher levels.'Shah said that the Nifty is now trading below its 20-day, 50-day, and 100-day EMAs, all sloping downward, and its RSI has entered a 'super bearish zone.' He said the MACD indicator also remains in bearish territory, with the MACD line below both the signal and zero lines.'Crucial support lies in the 24,200–24,150 zone, where the 200-day EMA and 38.2% Fibonacci retracement levels coincide,' Shah said. 'If the index slips below 24,150, it could extend its decline to 23,750. On the upside, the 100-day EMA zone of 24,570–24,600 will act as a crucial hurdle.'The banking index mirrored broader market weakness. 'The banking benchmark index Bank Nifty also ended the week on a negative note… On the weekly chart, it formed a bearish candle, indicating persistent selling pressure,' Shah index hovered near its 100-day EMA, with support seen at 54,950–54,850. 'A sustained move below 54,850 could intensify the downtrend toward 54,000–53,900,' he warned. Resistance on the upside stands at 55,700–55, earnings offered little cover. The Nifty IT index is down 10% over the past month, and the banking sector has shown little momentum. An Economic Times analysis revealed that India's top nine private banks posted only 2.7% year-on-year profit growth in Q1, reflecting weak credit appetite and sluggish macro momentum.'There are no indications yet of a sharp uptick in earnings for FY26,' Vijayakumar said, adding that the market remains both 'technically and fundamentally weak.'With foreign selling unrelenting, global macro risks mounting, and Q1 results underwhelming, investors may need to brace for continued volatility. Unless trade tensions ease or earnings deliver a surprise turnaround, the path ahead for Indian equities remains fraught with risk.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
India.com
20 minutes ago
- India.com
Trump tariffs aftermath: Panic among US businesses as orders worth billions cancelled due to..., companies to layoff workers as...
Representational Image Trump tariffs: US President Donald Trump's latest round of tariffs on Indian imports, which came into effect on August 7, has triggered panic among Indian as well as American businesses as orders worth hundreds of crore have either been cancelled or put on hold since Wednesday, when the Trump administration imposed an 25% penalty on India for buying arms and crude oil from Russia. Why US and Indian businesses are in panic? According to media reports, US businesses are apprehensive because of the additional tariffs on Indian imports which will come into effect on August 27, 2025. The issue of purchasing Russian oil has also been the subject of talks between Indian exporters and American importers, they said. 'After 25 percent tariffs, we will have to pay 15 percent import duty, but the burden will become unbearable when the 50 percent tariff rate kicks in. Our product isn't unique and can be easily replaced by other exporters,' the CEO of an an Indian garments firm that exports Rs 600 crore worth of apparel, told his US client in a phone call, the Times of India reported. The Indian exporter said that apart from his business, Trump tariffs will also affect the livelihood of over 8000 workers in his company. How Trump tariffs impact India's marine exports? Similarly, Thomas Jose, a Kerala-based exporter whose family has been exporting lobsters to the US for three generations, said that a majority of his US buyers called him after the Trump tariffs came into effect, and told him to halt shipments. Jose, who runs the Choice Group– a Kerala based export firm that ships goods worth Rs 900 annually, said his clients said that anything above 25 percent import duty would be unbearable for this business, as the imports goods would be too costly to be sold in the US. India exports marine products worth more than Rs 25,000 crore to the US each year. What about textile and jewellery industry? Meanwhile, India's jewellery industry is also under stress due to the fresh tariffs. Vijay Kumar Mangukiya, the MD of Dhani Jewels– a Surat-based jewellery exporter– revealed his US clients are asking to negotiate on diamond prices to circumvent the effect of Trump's additional 25 percent tariffs. The jeweler said price negotiations are possible till the tariff rate is 25 percent, but will become impossible at 50 percent tariffs. 'The buyer has talked about negotiating with his retail customers to bear the increased price, but if it doesn't happen, then we have no other option but to cancel the order,' he said. In the textile industry, which is likely to be hit hardest due to Trump tariffs, the CEO of an Indian textile export firm said he received a call from his American client, asking the exporter to bear the increased cost. The CEO refused, following which the buyer threatened to shift his order to Bangladesh. Indian textile industry exports goods worth Rs 87,525 crore to the US annually, which is about 28 percent of India's textile imports.
&w=3840&q=100)
Business Standard
20 minutes ago
- Business Standard
Forex reserves decline $9.32 billion to $688.87 billion, shows RBI data
For the week ended August 1, foreign currency assets, a major component of the reserves, decreased by $7.319 billion to $581.607 billion, according to the data Press Trust of India Mumbai India's forex reserves dropped by $9.322 billion to $688.871 billion for the week ended August 1 in one of the highest declines in the recent past, the RBI data showed on Friday. The overall reserves rose by $2.703 billion to $698.192 billion in the previous reporting week. For the week ended August 1, foreign currency assets, a major component of the reserves, decreased by $7.319 billion to $581.607 billion, according to the data. Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves. The gold reserves decreased by $1.706 billion to $83.998 billion during the week, the RBI said. The Special Drawing Rights (SDRs) were down by $237 million to $18.572 billion, the apex bank said. India's reserve position with the IMF was also down by $59 million at $4.694 billion in the reporting week, the apex bank data showed.
