Market Expert Raja Venkatraman Recommends Three Stocks for 4 February Trading
In an exclusive analysis for investors, Raja Venkatraman, co-founder of NeoTrader, has identified three promising stocks to consider for trading on 4 February 2026. His recommendations come amid a buoyant market environment fueled by positive developments in international trade and domestic economic policies.
Market Context: Rally Driven by India-US Trade Deal and Budget Optimism
The Indian stock markets experienced a significant rally on Tuesday, 3 February 2026, following the confirmation of a long-awaited trade deal between India and the United States. This agreement saw US President Donald Trump announce a reduction in reciprocal tariffs on Indian goods from 50% to 18%, while India reciprocated by lowering tariff and non-tariff barriers on American products to near-zero levels.
This geopolitical breakthrough translated into robust gains across key indices. The benchmark BSE Sensex surged by 2,072.67 points, or 2.54%, closing at 83,739.13. Similarly, the Nifty 50 climbed 629.75 points, or 2.51%, settling at 25,718.15. The Nifty Smallcap and Nifty Midcap indices also posted impressive gains of approximately 3% during the trading session.
Further momentum was provided by the Union Budget, which emphasized infrastructure spending and supportive fiscal measures, coupled with a steady monetary stance from the Reserve Bank of India. Investor sentiment received an additional boost from India's robust GDP growth projection of 7.4% and contained inflation trends, reinforcing confidence in the country's economic trajectory.
Detailed Stock Recommendations from Raja Venkatraman
1. CENTURYPLY (Century Plyboards India Ltd)
Current Market Price: ₹835.55
Recommendation: Buy above ₹840
Stop Loss: ₹810
Target Price: ₹945 (Multiday trade)
Century Plyboards is India's largest manufacturer and seller of plywood and decorative veneers, commanding a dominant 25-30% market share in the organized plywood sector. Venkatraman notes that the stock has shown strong thrust above the cloud region, indicating potential for bullish momentum in the coming weeks. Fresh buying activity is emerging as momentum picks pace, making it an attractive long position.
- Key Metrics: P/E Ratio: 67.40, 52-week high: ₹895, Volume: 118.37K
- Technical Analysis: Support at ₹725, resistance at ₹1100
- Risk Factors: Raw material price volatility, working capital intensity, vulnerability to sector slowdowns
2. ECLERX (eClerx Services Ltd)
Current Market Price: ₹4947
Recommendation: Buy above ₹4950
Stop Loss: ₹4860
Target Price: ₹5350 (Multiday trade)
eClerx Services is a global Business Process Management and Data Analytics firm serving over 50 Fortune 500 companies. A positive surprise in Q3 earnings has helped the stock maintain recent highs, with recent dips presenting opportunities for a sharp revival. The long body candle observed despite market volatility suggests potential for upward movement.
- Key Metrics: P/E Ratio: 53.63, 52-week high: ₹4985.95, Volume: 133.63K
- Technical Analysis: Support at ₹4840, resistance at ₹5500
- Risk Factors: Heavy client concentration, margin pressure from wage hikes and competition, reliance on legacy businesses, automation risks
3. SONA COMS (Sona BLW Precision Forgings Ltd)
Current Market Price: ₹530.20
Recommendation: Buy above ₹532
Stop Loss: ₹515
Target Price: ₹585 (Multiday trade)
Sona Comstar is a leading Indian automotive technology company specializing in critical components for both traditional and electric vehicles. After consolidation following profit booking from December 2025 highs, the stock has formed solid support for a V-shaped recovery above the cloud region. The India-US trade deal could provide additional sustainability to price movements.
- Key Metrics: P/E Ratio: 55.77, 52-week high: ₹559.40, Volume: 15.75M
- Technical Analysis: Support at ₹450, resistance at ₹650
- Risk Factors: Fragmented market, reliance on network infrastructure, operating cost challenges, volatile financial performance
Market Outlook and Trading Strategy
The sharp market rebound followed initial post-Budget caution, particularly around securities transaction tax changes. However, traders quickly repositioned for medium-term growth opportunities, leading to a decisive bullish turn on 3 February 2026. The trade deal has provided much-needed revival cues, creating upbeat momentum across sectors.
Foreign institutional investors, who were heavy sellers ahead of the Budget, may now cover short positions as positive vibes emerge from India's international agreements. Option data indicates a definite shift toward bullish sentiment, with strong put writing at 25700 suggesting potential upside as deal details become clearer.
With the RBI policy announcement expected in the coming days, investors may receive further confirmation regarding near-term market lows. Sectoral performance during the rally reflected broad-based optimism, with infrastructure and power stocks leading gains—Power Grid surged over 7%. Banking and financial counters advanced strongly on credit growth expectations, while IT and pharma stocks posted moderate gains driven by resilient global demand.
Disclaimer: Raja Venkatraman is co-founder of NeoTrader with SEBI registration number INH000016223. Investments in securities are subject to market risks. Registration granted by SEBI and certification from NISM do not guarantee intermediary performance or returns. The views and recommendations are those of the individual analyst and not of Mint. Investors should consult certified experts before making investment decisions.
