Podcast | Stock picks of the day: 'Key support for Nifty at 11,500, Bank Nifty at 29,400'

Additionally, the India VIX has also cooled off from its recent highs of 24 levels. Technically, 11,500 levels for Nifty while 29400 for Nifty bank will be key support levels.

On the higher side, any decisive move above 11,850 in Nifty can add further follow up buying into the index. We believe that the current trend is likely to remain choppy with continuous volatility on cards ahead of political uncertainty over upcoming election results.

Here are three stocks that could give 8-10% return in the next 1 month:

Indian Oil Corporation: Buy| Target: Rs 168.50| Stop Loss: Rs 149| Upside 8%

After testing 169 levels last month, the stock has been trading in a downward sloping channel on the daily interval. However, last week it took support at its 200-days exponential moving average and formed a double bottom pattern around 147 levels to once more regaining the momentum above its short term moving averages.

Follow up buying was seen this week in the prices as a fresh breakout above the falling trend line was observed along with marginally higher volumes.

So, traders can accumulate the stock in a range of 156-158 for the upside target of 168.50 levels and a stop loss below 149.

Tech Mahindra: Buy| Target: Rs 900| Stop Loss: Rs 790| Upside 8%

On the broader charts, the stock has been maintaining its uptrend and trading in a rising channel with the formation of the higher high and higher bottom pattern.

In the recent past, it has taken a support at its 100-days exponential moving average on daily interval and took a U-turn thereon to once again reclaim 800 levels.

At the current juncture, the stock has formed a rounding bottom pattern and given a fresh breakout along with positive divergence on secondary oscillators.

So, traders can accumulate the stock in a range of 830-835 for the upside target of 900 levels with stop loss below 790.

JSW Steel: Buy| Target: Rs 336| Stop Loss: Rs 285| Upside 10%

From the last two months, the stock has been consolidating in a broader range of 250-300 and is maintaining well below its long-term moving averages; along with consistent buying on every dip on a daily interval.

However this week we have observed a fresh consolidation breakout into a price along with hefty volumes which suggest that bulls are actively taking control over the scrip.

Additionally, the stock has also managed to close above its long-term moving average which is again a positive signal.

Traders can accumulate the stock in a range of 305-308 for the upside target of 336 levels, and a stop loss below 285.

(The author is a Senior Research Analyst, SMC Global Securities Ltd.)

Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are his own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.