The benchmark indices closed nearly 0.4 percent lower on July 31 following a Trump tariff-led volatile session. Bears dominated market breadth as about 1,786 shares declined, compared to 872 that gained on the NSE. The bearish sentiment is expected to prevail until the frontline indices provide a sustainable close above the medium-term moving average. Below are some short-term trading ideas to consider:
Jay Mehta, Technical Research at JM Financial Services
Bayer Cropscience | CMP: Rs 6,322.5
Bayer Cropscience is currently forming a pennant pattern and is supported by the 20-day EMA following a breakout above the trendline resistance. The price action is displaying multiple Spinning Top and Doji candlestick patterns, indicating market indecision. A breakout above Rs 6,512 could target levels of Rs 7,200 and Rs 7,600, with a stop-loss at Rs 6,130 post-breakout. Additionally, a golden crossover at the start of the month supports a bullish outlook.
Strategy: Buy
Target: Rs 7,200, Rs 7,600
Stop-Loss: Rs 6,130
Ajanta Pharma | CMP: Rs 2,751.4
Ajanta Pharma has broken out above a descending triangle pattern, supported by strong volume activity. A golden crossover was observed on Wednesday, reinforcing the bullish outlook. The price is currently finding support near its 20-EMA. A breakout above the resistance zone of Rs 2,850–2,862 could trigger a bullish move, potentially pushing the price toward Rs 3,000 and Rs 3,100.
Strategy: Buy
Target: Rs 3,000, Rs 3,100
Stop-Loss: Rs 2,580
Mandar Bhojane, Senior Equity Research Analyst at Choice Broking
Jindal Stainless | CMP: Rs 694.1
Jindal Stainless is displaying a strong bullish setup, with technical indicators aligning across multiple timeframes. On the daily chart, the stock is nearing a breakout from a descending triangle pattern, which typically signals accumulation and reduced selling pressure. A decisive close above Rs 700 with strong volumes would validate the breakout and could lead to a sharp upward rally.
The stock is trading comfortably above its 20-, 50-, 100-, and 200-day EMAs, indicating sustained strength across short-, medium-, and long-term horizons. The RSI is at 58.21, steadily rising and showing strong buying interest without being overbought. Momentum remains favourable, with a positive MACD bias, further supporting the bullish structure. Traders may consider a buy-on-dips strategy near Rs 675.
Strategy: Buy
Target: Rs 777
Stop-Loss: Rs 655
NLC India | CMP: Rs 242.25
NLC India is consolidating near a key breakout zone, reflecting underlying strength. On the daily chart, the stock is forming a symmetrical triangle pattern, a classic bullish continuation setup. Rising volumes during this consolidation phase indicate growing investor interest, increasing the probability of an upside breakout.
A decisive close above Rs 245 would confirm the breakout and could ignite strong bullish momentum. The RSI is at 57.85 and trending upward, signaling healthy momentum. On the downside, Rs 235 acts as immediate support and can be considered a buy-on-dips zone for positional traders.
Strategy: Buy
Target: Rs 267
Stop-Loss: Rs 230
General Insurance Corporation of India | CMP: Rs 392.15
General Insurance Corporation of India is on the verge of a breakout from a falling trendline and a descending triangle pattern on the daily chart. This technical setup, along with rising volumes, reflects renewed buying interest and a potential trend reversal in favour of the bulls.
From a momentum perspective, the RSI stands at 57.76, trending upward and showing bullish divergence, further supporting the strengthening momentum. On the downside, Rs 382 serves as a strong support level, making it a key accumulation zone for traders. If the stock sustains above current levels with continued volume participation, it could move toward a short-term target of Rs 440.
Strategy: Buy
Target: Rs 440
Stop-Loss: Rs 369
Om Mehra, Technical Research Analyst at Samco Securities
Hindustan Unilever | CMP: Rs 2,512.20
Hindustan Unilever decisively broke out of a downward-sloping flag pattern on the daily chart. This bullish continuation pattern emerged after a sharp recovery from the Rs 2,400 level. Thursday’s breakout was backed by a notable rise in volume, confirming strong follow-through momentum.
The stock reclaimed the Rs 2,510 horizontal resistance, which had capped gains in a previous breakout attempt. The candle structure shows a wide bullish body with a close near the day’s high, indicating strong institutional buying and no signs of upper wick exhaustion.
The daily RSI rebounded sharply from the 50 level and is now near 64, climbing above its signal line and hinting at improving bullish momentum. The surge in volume adds further credibility to the breakout. The flag breakout, along with a rebound in the FMCG sector, suggests potential short-term upside. The Rs 2,470–2,480 zone can be considered for accumulation on any pullback.
Strategy: Buy
Target: Rs 2,640
Stop-Loss: Rs 2,460
JSW Steel | CMP: Rs 1,048.3
JSW Steel is breaking out above a rising triangle formation on the daily chart after facing multiple rejections near the Rs 1,045 zone. The stock has consistently formed higher lows since March, with the trendline now acting as a critical support—underlining the bullish setup.
The breakout candle is accompanied by a noticeable increase in volume and has closed near the day’s high, indicating sustained strength. The RSI has risen sharply to 65, crossing above its signal line and confirming strengthening momentum. Meanwhile, the MACD is nearing a bullish crossover.
The stock has formed a solid base in the Rs 1,030–1,035 range, and with the current breakout above Rs 1,045, the bullish trend is likely to extend further.
Strategy: Buy
Target: Rs 1,095
Stop-Loss: Rs 1,025
Bharti Hexacom | CMP: Rs 1,847.70
Bharti Hexacom has regained strength, staging a breakout after forming a double bottom base near the Rs 1,750 zone. The pattern had been developing over the past few weeks within a defined rectangle range, and Thursday’s move confirms a bullish reversal from recent consolidation.
The stock reclaimed the 20-EMA and crossed above the upper horizontal resistance near Rs 1,840, which had capped multiple intraday rallies. The breakout candle closed near the day’s high with above-average volume, indicating renewed strength.
The RSI has rebounded to 56, validating the breakout with improving momentum. The price is also trending above the 50-SMA, which is expected to act as immediate support on any dip. The daily Supertrend indicator also supports the bullish bias. Any pullback toward the Rs 1,820 zone would present a good accumulation opportunity.
Strategy: Buy
Target: Rs 1,930
Stop-Loss: Rs 1,805
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
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