Mid- & Small-Cap Stocks In Focus

Mumbai: On Wednesday, the Indian stock market exhibited volatility, with the benchmark indices closing near the flatline. BSE Sensex ended at 75,939 down by 0.04 per cent, while Nifty-50 closed at 22,932, a 0.05 per cent increase.

Vaibhav Vidwani, research analyst, Bonanza, said: “Sectorally, metals, banking, and realty drove the index, while tech and pharmaceuticals experienced declines following concerns about potential tariffs.Despite usual headwinds like high valuations for mid- and small-caps, a depreciating INR, and FII outflows, focus shifted to the FOMC meeting.”

Prashanth Tapse, senior V-P (research), Mehta Equities, said: “While markets ended flat with a slightly negative bias due to selling in IT stocks, broader markets witnessed a lot of optimism as mid- & small-cap stocks rallied after the recent selloff.”

Despite the uncertainty over rising FII selling, falling rupee, and the ongoing tariff war, the recently beaten sectoral stocks from banking, automobile, telecom, metals attracted significant buying interest.

STOCK PICKS

Angel One | TRADE-BUY | CMP: Rs2321| SL: Rs2275 | TARGET: Rs2400

The stock touched its major support and witnessed strong short covering coming in from lower levels which pushed the stock up in the Wednesday trading session. The overall technical structure of the stock is looking positive and we feel that it should head higher towards potential targets of 2400 and above. A strict stop loss should be kept at 2275 mark to manage risk well on this trade.

CAMS | TRADE-BUY | CMP: Rs3371 |SL: Rs3290 | TARGET: Rs3500

The stock witnessed bullish candlestick formation on its daily timeframe charts, which is indicating strong signs of momentum and strength. With the volume picking up nicely and sector rotation in place we expect cams to head higher towards potential targets of 3500 and above. A strict stopper should be kept at 3290 mark to manage risk well on this trade.

(Source: Riyank Arora, technical analyst at Mehta Equities)