The Indian stock market benchmark, the Nifty 50, faced selling pressure on Tuesday, January 6, declining by approximately 0.40% during intraday trade. This movement sets the stage for the index to extend its losses for a second consecutive session, following a 0.30% drop in the previous trading day.
Market Under Pressure Ahead of Earnings Season
The market's struggle to build on gains is attributed to investor caution ahead of the commencement of the Q3FY26 earnings season. The absence of positive developments regarding the India-US trade deal is also weighing on sentiment. Furthermore, escalating geopolitical tensions globally are adding to the cautious atmosphere, making investors hesitant to take aggressive positions.
In this environment, market experts suggest that investors focus on identifying stocks with strong technical indicators for short-term opportunities. Analysts Vishnu Kant Upadhyay of Master Capital Services and Aakash Shah of Choice Equity Broking have recommended six such stocks for a holding period of one to two weeks.
Expert Stock Picks for the Next 1-2 Weeks
Vishnu Kant Upadhyay, AVP- Research and Advisory at Master Capital Services, has provided three recommendations based on technical analysis.
PG Electroplast (PGEL): Upadhyay recommends a buy at ₹630. The stock has shown a decisive breakout from an ascending triangle pattern, supported by a bullish trendline. A bullish crossover of the 21-EMA above the 55-EMA reinforces the positive trend. The Relative Strength Index (RSI) breakout from a symmetrical triangle indicates fresh momentum. The target prices are set at ₹675 and ₹690, with a stop loss at ₹586.
Cyient: This stock is approaching a potential breakout from a descending triangle, with a Morning Star pattern suggesting emerging bullish momentum. Prices are sustaining above key EMAs, and the RSI shows a positive divergence. Upadhyay suggests buying at ₹1,154, with target prices of ₹1,240 and ₹1,260. The recommended stop loss is ₹1,070.
Max Financial Services: The stock is in a sustained uptrend, forming higher highs and higher lows while holding above its 21 and 55-day EMAs. The RSI has broken above its downward trendline. The buy recommendation is at ₹1,704, with targets at ₹1,810 and ₹1,860. Investors should place a stop loss at ₹1,605.
Analyst Selections from Choice Broking
Aakash Shah, Research Analyst at Choice Broking, has also identified three stocks with promising technical setups for the short term.
The India Cements: Trading in a strong bullish trend near all-time highs, the stock has broken above the ₹445–450 resistance zone. It is trading above all key positively aligned EMAs, with the 20-day EMA near ₹432 acting as support. Shah recommends buying at ₹457, targeting ₹490, with a stop loss at ₹435.
Prestige Estates Projects: The stock has rebounded from a key support and broken a falling trendline, indicating a potential trend reversal. A sustained move above ₹1,700 could trigger a fresh uptrend toward ₹1,840. The buy level is ₹1,667.10, with a stop loss at ₹1,584.
Nestle India: Exhibiting strong bullish momentum, the stock is forming a rounding bottom pattern. A decisive close above ₹1,350 could confirm the breakout and lead to a move toward ₹1,410. Shah suggests buying near ₹1,314.60, with a target of ₹1,410 and a stop loss at ₹1,267.
Navigating Market Volatility
While the broader market exhibits caution due to earnings and geopolitical headwinds, these technical picks highlight specific stocks where analysts see potential for near-term upside. Investors are advised to use strict risk management practices, including adhering to the prescribed stop-loss levels, as market conditions can change rapidly. The views expressed are those of individual analysts, and investors should consult certified experts before making any investment decisions.
