Stocks to buy for short term: Anand Rathi's Jigar Patel recommends 3 shares, including PVR INOX and JSW Energy, for the next 1-2 weeks. (Anand Rathi Share and Stock Brokers)AI Quick ReadStocks to buy for short term: Snapping its two-week winning run, Indian equity benchmark Nifty 50 fell 2% for the week ended 24 April amid geopolitical tension between the US and Iran, higher crude oil prices, and mixed Q4 earnings.
While news flows about the US-Iran conflict and Q4 earnings will remain dominant triggers for the domestic market, this week, the focus will also be on the US Federal Reserve's policy decision on Wednesday, 29 April.
The Fed is expected to keep its policy rate unchanged amid increased risk of inflation rising due to higher energy prices. This will be Jerome Powell's last policy meeting as the Federal Reserve Chairman as his term expires on 15 May. After April, Fed's next policy meeting is scheduled for June 16-17. Meanwhile, US President Donald Trump has picked Kevin Warsh to lead the Federal Reserve after Powell.
Jigar S. Patel, Senior Manager of Equity Technical Research at Anand Rathi Share and Stock Brokers, highlighted that the Nifty 50 is consolidating after a strong rally, with immediate resistance at 24,400–24,800 and support at 23,800–23,500.
"The decline appears more like a healthy correction within an uptrend, and stabilisation near 23,500–23,600 could pave the way for a rebound toward 24,600–25,000 levels," said Patel.
"The Bank Nifty faced rejection near 57,200–57,500 (61.8% retracement) and slipped below 56,000, signaling short-term weakness. Key support lies near 54,500, where buying interest could emerge. Once the pullback stabilises, a recovery toward 57,500 and possibly higher levels is anticipated," said Patel.
Jigar Patel recommends buying the following three stocks for the next 1-2 weeks:
Patel highlighted that PVR INOX shares are showing signs of a strong base formation, having created multiple bottoms in the ₹950– ₹900 zone over the past one year, as visible on the chart.
This repeated support suggests buying interest emerging at lower levels. Importantly, the current base is forming near the 88.6% Fibonacci retracement of the entire rally from the COVID low, which is often considered a key reversal zone in technical analysis.
"Based on this setup, traders may consider initiating long positions in the ₹1,010– ₹980 range. A strict stop loss should be maintained at ₹910 to manage downside risk. On the upside, the stock has potential to move towards the ₹1,165 target in the short to medium term if momentum improves," said Patel.
According to Patel, a bullish Bat harmonic pattern is visible on the weekly chart of Intellect Design Arena stock, indicating the possibility of a trend reversal from current levels.
The potential reversal zone (PRZ) is further strengthened as it coincides with the S1 floor yearly pivot support in the same vicinity, making this area technically important.
On the indicator front, the MACD has declined near its previous historical lows, suggesting the stock is in an extremely oversold condition and may witness a rebound.
"Considering this favorable risk-reward setup, traders may consider buying in the ₹695– ₹675 zone. A strict stop loss should be placed at ₹605 to manage downside risk. On the upside, the stock has the potential to move towards the ₹825 target in the coming weeks if buying momentum returns," said Patel.
Patel said after a prolonged consolidation phase between ₹535 and ₹445, JSW Energy shares are showing signs of strength.
This range also coincides with the 200-week EMA, which has acted as a strong long-term support zone, indicating accumulation at lower levels.
Sustaining above this important moving average adds confidence to the bullish outlook.
On the momentum front, the RSI has given a breakout, suggesting improving strength and the possibility of fresh upside momentum.
This combination of price consolidation near major support and positive RSI action points towards a favorable trading setup.
"Traders may consider buying in the ₹545 to ₹535 zone. A strict stop loss should be maintained at ₹505 to limit downside risk. On the upside, the stock may move towards the ₹610 target in the near term," said Patel.
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of the expert, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.