Trading guide: Nifty eyes 26,000; BPCL, REC, Indus Towers on analyst radar

Stocks to buy: Ajit Mishra of Religare Broking recommends buying BPCL, Indus Towers, and REC; also suggests Nifty trading strategy

Market View

Markets traded range-bound on Wednesday as investors assessed follow-through activity after Tuesday’s strong rally triggered by the India–US trade deal. After a flat start, the Nifty oscillated within a narrow band through the session and ended marginally higher at 25,779.5. Sectoral trends were mixed, with buying interest visible in auto, metal and energy stocks, while the IT index declined sharply and underperformed the broader market. Market breadth remained firmly positive, supported by a

sustained rebound in midcap and smallcap stocks. 

 

Sentiment stayed cautious amid mixed global cues and some profit booking following the recent relief rally. Weakness in global technology stocks weighed on domestic IT counters, leading to sectoral divergence. At the same time, optimism surrounding the India–US trade agreement and expectations of improved foreign participation continued to support cyclical stocks and select heavyweight names. After the recent sharp swings, some consolidation would be healthy as long as the Nifty holds the

25,400–25,500 zone. On the upside, the index may attempt a move towards the 26,000 level, followed by a gradual push towards record highs. Among key sectors, banking, energy, metal and auto continue to show resilience, while pharma, FMCG and IT remain relatively subdued. Participants should align  positions accordingly, with an emphasis on stock selection and disciplined trade management.

Stocks To Buy Today: Ajit Mishra, Religare Broking Recommendations

Bharat Petroleum Corporation | LTP: ₹ 382.45| Recommendation: Buy | Target: ₹ 410| Stop- loss: ₹364

We are witnessing notable strength across the oil marketing space, with BPCL leading the move. The stock has rebounded sharply after forming a strong base near its medium-term support, the 100-day DEMA, and appears well positioned to retest its record highs. Additionally, it is holding comfortably above its short-term moving averages, namely the 20- and 50-day EMAs. Stabilising momentum indicators further indicate a gradual shift in control towards buyers, making the current levels

favourable for initiating long positions.

Indus Towers | LTP: ₹ 445.1| Recommendation: Buy | Target: ₹ 485| Stop-loss: ₹ 424

Indus Towers stock has witnessed a decisive breakout from a triangle consolidation pattern, signalling continuation of the prevailing uptrend. The emergence of a buying pivot near the breakout neckline points to strong accumulation and improves the likelihood of further upside. With prices comfortably above positively aligned short- and long-term moving averages, the technical structure offers a favourable risk–reward setup for fresh long positions.

REC | LTP: ₹ 381.6| Recommendation: Buy | Target: ₹ 410| Stop-loss: ₹ 368

After a prolonged corrective phase, REC stock has tested and held its key long-term support at the 200-week EMA, indicating waning selling pressure. On the weekly timeframe, the stock has formed a stable base within the 350–390 range, suggesting accumulation. Improving price action and a constructive broader structure point to limited downside and a potential upside move, making it an attractive long opportunity.  (Disclaimer: This article is by Ajit Mishra, SVP – research, Religare Broking. Views expressed are his own.)