Stocks to buy for short term: HCL Tech, Tech Mahindra, Jio Financial among 9 picks expected to gain 9-29%, say analysts

Stocks to buy for the short term: The Indian stock market has been under pressure for the last five consecutive sessions. The Sensex has crashed 1,675 points, while the Nifty 50 has lost 488 points or 2.1 per cent in the last five days.

Experts expect the market to witness volatility in the short term due to concerns over weak earnings, foreign capital outflow, a global trade war, and the rupee’s weakening against the dollar.

As the market sentiment remains cautious, experts suggest picking stocks with favourable technical indicators for the short term. Shiju Koothupalakkal of PL Capital, Vishnu Kant Upadhyay of Master Capital, and Hardik Matalia of Choice Broking recommend buying the below nine stocks as they expect them to rise 9-29 per cent in the next 2-3 weeks. Take a look:

Shares to buy

Shiju Koothupalakkal, Senior Manager, Technical Research Analyst, PL Capital – Prabhudas Lilladher

REC | Previous close: ₹423.45 | Target price: ₹515| Stop loss: ₹407 | Upside potential: 22%

REC stock has witnessed a gradual slide recently. It has arrived near the lower band of the descending channel pattern on the daily chart, taking support near ₹400.

After a decent pullback, the bias has improved. The RSI is well placed and has picked up well from the oversold zone to indicate a positive trend reversal, signalling a buy.

Torrent Power | Previous close: ₹1,350.15 | Target price: ₹1,600 | Stop loss: ₹1,300 | Upside potential: 19%

Torrent Power stock has slipped significantly in the last three months from the peak of 2,037. Recently, maintaining a strong support level near ₹1,300, the stock again indicated a pullback to improve the bias.

“A decisive move above ₹1,440 shall further strengthen the trend, indicating further rise. The RSI has recovered sharply to signal a buy with a positive trend reversal and upside potential and strength visible,” said Koothupalakkal.

Arvind | Previous close: ₹347.55 | Target price: ₹450 | Stop loss: ₹340 | Upside potential: 29%

Arvind has gained strength, taking support near ₹325. It is on the verge of breaching above the confluence of the 50EMA, 100 DMA, and 200 DMA moving averages to further strengthen the trend. The RSI is on the rise, indicating strength.

“With much upside potential visible from the current rate, we anticipate a further rise in the coming days,” said Koothupalakkal.

Hardik Matalia, Derivative Analyst, Choice Broking

HCL Technologies | Previous close: ₹1,733.85 | Target prices: ₹1,870, ₹1,910 | Stop loss: ₹1,660 | Upside potential: 10%

HCL Tech has witnessed a 17 per cent decline from its recent highs and is currently consolidating near its demand zone trading at ₹1,733.85, showing potential signs of reversal.

The stock is trading near its long-term EMA, and if it surpasses its short-term EMA, it could test its medium-term EMA, further strengthening the bullish outlook.

RSI is at 41.73, reversing from lower levels and trending upwards, indicating improving momentum.

“If the stock holds above the crucial ₹1,760 level, it could trigger a strong upward move, potentially reaching the ₹1,870– ₹1,910 range in the near term. A breakout above this level would confirm the reversal and attract fresh buying interest, signalling a further recovery in the stock,” said Matalia.

Patanjali Foods | Previous close: ₹1,851.55 | Target price: ₹1,980, ₹2,020 | Stop loss: ₹1,770 | Upside potential: 9%

Patanjali Foods is on the verge of breaking out of its consolidation range after experiencing a prolonged sideways movement near higher levels.

The stock has been trading near its key moving averages, including short-term, medium-term, and long-term EMAs, and has managed to stay above them, reinforcing bullish sentiment.

RSI is at 56.07, showing an upward trend from the sideways range, indicating improving momentum.

“If Patanjali Foods surpasses the crucial ₹1,880 mark, it could trigger fresh buying interest and extend its upside move toward the ₹1,980– ₹2,020 range. A breakout above this level would confirm trend continuation, increasing the likelihood of further strength in the stock,” Matalia said.

Tech Mahindra | Previous close: ₹1,699.05 | Target price: ₹1,820, ₹1,860 | Stop loss: ₹1,620 | Upside potential: 9%

Tech Mahindra has witnessed a throwback from higher levels, consolidating near its demand zone.

The stock is showing signs of reversal from key support levels and is on the verge of breaking out of its consolidation range.

RSI is at 53.99, trending upwards, indicating strengthening buying momentum. Additionally, it has rebounded from its support zone and surpassed its short-term and medium-term EMAs, reinforcing bullish sentiment.

“If the stock sustains above ₹1,730, it could trigger further upside, potentially reaching the ₹1,820– ₹1,860 range in the near term. A breakout above this level would confirm trend continuation and attract fresh buying interest, supporting the ongoing recovery,” said Matalia.

Jio Financial Services | Previous close: ₹242.96 | Target price: ₹255, ₹275 | Stop loss: ₹230 | Upside potential: 13%

Jio Financial Services is exhibiting a sideways to bearish trend as it fluctuates within the – ₹230-250 range, indicating neutral sentiment.

The stock is facing resistance at its 20-day (EMAs), while finding support at ₹230, suggesting it is in a consolidation phase.

Additionally, the Relative Strength Index (RSI) is at 37.74 and trending downward, further reinforcing a bearish outlook until it reaches the resistance level.

This indicates that the stock may continue consolidating, and a breakout from this range could determine its next directional move.

“If the bearish trend persists, Jio Financial Services may approach a key support zone between ₹230 and ₹250, potentially offering a buying opportunity if reversal signals emerge,” said Matalia.

“If the stock sustains above the critical resistance level of ₹250 and demonstrates signs of a trend reversal, it could present an attractive entry point for investors. A long position may be considered at the current market price of ₹243, with an upside target in the range of ₹255 to ₹275,” Matalia said.

Vishnu Kant Upadhyay, AVP – Research and Advisory at Master Capital

Bajaj Auto | Previous close: ₹8,880.55 | Target price: ₹9,800 | Stop loss: ₹8,300 | Upside potential: 10%

Bajaj Auto’s weekly chart shows signs of a bullish reversal near the strong support at ₹8,600, coinciding with the 100-week EMA. 

The formation of a reversal candlestick, narrowing MACD histogram, and RSI rebounding from oversold levels signal improving momentum. 

The declining volumes on corrections further confirm reduced selling pressure.

“Prices are decisively sustaining above ₹8,500, which signals a further upward journey towards ₹9,800-9,900. Traders may consider buying on every dip towards ₹8,700 to ₹8,500,” said Upadhyay.

Jio Financial Services | Previous close: ₹242.96 | Target price: ₹275 | Stop loss: ₹230.50 | Upside potential: 13%

Jio Financial share price is showing early signs of recovery after bouncing from the crucial Fibonacci 78.6 per cent retracement level near ₹244, indicating strong demand at lower levels.

The bullish candlestick formation on the weekly chart and improved volume signal buying interest. The RSI, near the oversold zone at 30, suggests a potential reversal, while the narrowing MACD histogram hints at waning bearish momentum.

“Prices are comfortably trading above ₹245, the previous week’s Doji pattern high, which could lead to further upside towards ₹275 (61.8 per cent retracement) and ₹300. Key support remains at ₹230.50,” Upadhyay said.

Laurus Labs | Previous close: ₹626.35 | Target price: ₹695 | Stop loss: ₹602 | Upside potential: 11%

Laurus Labs has witnessed a robust breakout above ₹618, supported by strong volumes, signalling renewed bullish momentum.

The stock is trading well above the 21-week EMA, confirming a sustained uptrend.

RSI is nearing the overbought zone at 68, reflecting strong buying interest, while the MACD is in positive territory, with a widening gap between the signal and MACD lines, indicating further upside potential.

“Prices are comfortably sustaining above ₹620, indicating further upmove towards ₹695. Immediate support is placed at ₹602, making this a promising setup for trend-following investors,” said Upadhyay.

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Disclaimer: The views and recommendations above are those of individual analysts, experts, and brokerage firms, not Mint. We advise investors to consult certified experts before making any investment decisions.