Stocks to buy for the short term: The Indian stock market has been under significant pressure in January so far on relentless selling by foreign institutional investors (FIIs), increased geopolitical risks, mixed Q3 earnings, and caution ahead of the Union Budget 2026.
The benchmark index Nifty 50 is down over 4% in January so far. On a weekly scale, the index lost 2.5% last week.
Aakash Shah, a technical research analyst at Choice Equity Broking Private Limited, highlighted that the Nifty 50 continues to trade below its short-term moving averages, indicating a fragile setup.
“The 25,200–25,300 zone is now seen as immediate resistance, and any pullback towards this area may invite selling pressure. On the downside, 25,000 remains a critical psychological and technical support,” said Shah.
“A decisive breakdown below this level could accelerate weakness towards the 24,950–24,900 region in the near term. Momentum indicators remain subdued, though oversold conditions may result in brief, stock-specific relief rallies,” Shah said.
Stock picks for the short term
Aakash Shah recommends buying the following three stocks for the next 1-2 weeks:
Hindustan Zinc | Buy at ₹698 | Target price: ₹750 | Stop loss: ₹650
According to Shah, Hindustan Zinc is displaying a strong bullish continuation setup on the daily chart after a prolonged consolidation phase.
The stock has transitioned into a well-defined uptrend, marked by higher highs and higher lows, indicating sustained buying interest and trend strength.
Price has decisively broken above the previous resistance zone near ₹650–655, converting it into a strong support area.
The recent breakout is supported by a wide-range bullish candle, signaling aggressive participation from buyers and confirming the strength of the move.
The stock is comfortably trading above the key, with all moving averages aligned in a bullish order and sloping upward.
This EMA alignment reflects strong momentum across short-, medium-, and long-term timeframes, reinforcing the overall positive trend structure.
Volume has expanded significantly during the breakout and subsequent rally, while minor pullbacks have occurred on relatively lower volume. This volume behavior indicates healthy accumulation rather than distribution.
“Structurally, the zone around ₹650–655 now acts as a key demand area and trend-defining support. As long as Hindustan Zinc sustains above this level, the bullish structure remains intact and favors continuation toward the ₹750-resistance zone, with potential for further upside if momentum persists,” said Shah.
Bazaar Style Retail | Buy at ₹334 | Target price: ₹390 | Stop loss: ₹305
Shah said Baazar Style Retail is showing a strong trend reversal and bullish continuation setup on the daily chart after a prolonged corrective decline.
The stock has staged a sharp recovery from the lower levels, forming a solid base and signaling a clear shift from bearish to bullish momentum.
Price has moved decisively above the key EMAs, with short-term averages crossing above the long-term EMAs. This bullish EMA alignment reflects strengthening momentum across all timeframes and confirms a change in the broader trend structure.
The recent breakout is supported by strong bullish candles and a notable surge in volume, indicating aggressive accumulation. Previous declines were marked by relatively lower volume, suggesting selling pressure has been absorbed at lower levels.
“Structurally, the ₹The 305 level now acts as a key support area and trend-defining level. As long as the stock holds above this support, the bullish structure remains intact and favors continuation toward the ₹390 resistance level,” said Shah.
UltraTech Cement | Buy at ₹1,2369 | Target price: ₹13,000 | Stop loss: ₹11,900
Shah pointed out that UltraTech Cement is showing a bullish recovery and trend resumption setup on the daily chart after a healthy corrective phase.
Price action indicates a shift back towards bullish momentum, supported by higher lows formed after the recent decline.
The stock has reclaimed the 20 EMA and 50 EMA, with both averages turning upward, signaling strengthening short-term momentum. Price is also trading above the 100 EMA and 200 EMA, reflecting stability in the medium- to long-term trend and confirming broader bullish bias.
The recent move higher is supported by steady volume expansion, indicating improving participation from buyers. Pullbacks during the prior correction were accompanied by relatively moderate volume, suggesting controlled profit booking rather than aggressive selling.
“Structurally, the demand zone around ₹11,900 now acts as a key support base. As long as price holds above this zone, the recovery structure remains intact and favors continuation toward the ₹13,000 resistance zone on sustained strength,” said Shah.
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 the expert, 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.
