Indian equity markets are showing strong signs of a sustained upward move, according to a leading market expert. Aakash K Hindocha, Deputy Vice President of WM Research at Nuvama Professional Clients Group, has provided a bullish outlook for the key indices and identified three top stock picks for investors on January 1, 2026.
Nifty and Bank Nifty: Poised for a Powerful Rally
The Nifty index has staged a robust recovery from a crucial support zone. The index bounced strongly from its 3-month rising trend line support, located between 25,860 and 25,880 points. This recovery gained further credibility with a solid follow-through in the subsequent session, where the index climbed over 200 points.
Hindocha's analysis suggests that the momentum is likely to accelerate. A decisive close above the 26,200 level could trigger a strong rally of 500 to 600 points in the Nifty. Similarly, the Bank Nifty has delivered a positive signal by closing above its previous resistance high of 59,500. A sustained break above this level is expected to fuel significant momentum, potentially leading to a sharp 2-3% upmove in a short period.
Top Stock Recommendations for Today
Based on technical analysis, Hindocha has issued buy recommendations for three public sector undertakings (PSUs) and a mineral developer. Here are the detailed calls with entry levels, stop losses, and targets.
Gujarat Mineral Development Corporation (GMDC): Buy
Last Traded Price (LCP): ₹598
Stop Loss: ₹564
Target: ₹690
The stock of Gujarat Mineral Development Corporation has witnessed a powerful rebound from its 20-day moving average, supported by strong trading volumes. This price action has placed the stock within 10% of its all-time high. The technical setup indicates that the stock is gathering momentum for a potential breakout to fresh record levels.
Bharat Heavy Electricals Ltd (BHEL): Buy
Last Traded Price (LCP): ₹287.0
Stop Loss: ₹274
Target: ₹310
BHEL's share price has been consolidating in a pennant pattern throughout the month of December. This consolidation is occurring at the retest of a prior breakout, which increases the probability of an upward resolution. Consistent buying demand at the lower boundary of the pennant adds further confidence to the bullish view for this engineering heavyweight.
Indian Oil Corporation (IOC): Buy
Last Traded Price (LCP): ₹166
Stop Loss: ₹160
Target: ₹190
Mirroring GMDC, IOC stock has also bounced decisively from its 20-day moving average on the back of robust volumes. The stock is currently consolidating near its lifetime high, and this phase appears to be nearing completion. A close above the ₹180 mark is expected to unleash strong momentum, potentially driving the stock 10% higher in a very short time frame.
Investor Takeaways and Market Outlook
The overall market view presented by Aakash K Hindocha is decidedly optimistic. The successful defense of key support levels by the Nifty and Bank Nifty sets the stage for a potential significant upmove. The selected stock picks—GMDC, BHEL, and IOC—leverage technical patterns suggesting imminent breakouts from consolidation, offering defined risk-reward setups for traders and investors.
(Disclaimer: The recommendations, opinions, and views expressed by the market expert are their own and do not represent the views of The Times of India. Investors are advised to consult certified experts before making any investment decisions.)
