Author : Aashiya Jain | EQmint | Market News

 

As the Indian stock market headed into the week of 12 January 2026, investors were watching closely for signals on where the market might go next. After a tough week of declines with both the Nifty 50 and Sensex slipping sharply market participants were cautious. This was the backdrop against which Sumeet Bagadia, Executive Director at Choice Broking, shared his view on three stocks that looked technically poised for potential gains in the week ahead.

 

Bagadia’s recommendations mixed established brands with a strong technical setup, giving traders and investors specific entry points, targets and stop-loss levels an approach that helps balance ambition with risk management.

 

Market Sentiment: Nervous But Not Broken

Before diving into the stock picks, Bagadia addressed the broader market mood. The Indian stock market had seen intense selling, leaving many indices on shaky ground. According to his analysis, the Nifty 50 had recently dropped below a key moving average and approached another critical support zone, bringing caution back into play among traders.

 

This picture of market unease is important: it doesn’t mean markets are doomed, but it does set the tone for why specific stock choices matter right now. With broader weakness, Bagadia focused on shares that showed technical resilience those that might hold up even when sentiment is fragile.

 

1. Eternal A Stock at a Turning Point

Bagadia’s first pick, Eternal, was recommended at a buy level of ₹284.35, with a target of ₹310 and a stop loss at ₹275.

Here’s why this mattered:

 

• • The stock had seen a strong uptrend earlier before correcting, suggesting some healthy profit-taking rather than a breakdown in fundamentals.

• • Price action showed the share stabilising around its 200-day EMA (Exponential Moving Average) a long-term trend indicator that sometimes acts as a cushion in weak markets.

• • The fact that downside momentum was slowing, and volume faded during the decline, hinted at accumulation rather than selling pressure. When volume dries up during a fall, it often suggests sellers are exhausted and buyers are watching from the sidelines.

For traders who pay attention to chart patterns and trend strength, Eternal’s setup was noteworthy a stock that might move up if it can reclaim higher emotional moving averages.

 

2. Asian Paints Strength Back on the Charts

Bagadia’s second recommendation was one of the market’s most familiar names: Asian Paints. He suggested buying it around ₹2,825, with a target close to ₹3,000 and a stop loss at ₹2,725.

Why this pick stands out:

 

• • Asian Paints had recently cleared a major technical hurdle by breaking above its 200-day EMA, shifting sentiment from neutral to bullish.

• • The price was comfortably above key moving averages including the 20- and 50-day EMAs which were turning upward in unison, a sign that short-term strength was building.

• • Volume patterns showed strong participation during the breakout and lighter activity during pullbacks, usually interpreted as healthy consolidation rather than distribution.

In plain language, this means Asian Paints looked like a stock that might have shaken off recent weakness and was ready to resume growth and Bagadia’s target zone reflected that optimism.

 

3. BEL Defence Sector Momentum

The third stock on Bagadia’s list was BEL (Bharat Electronics Ltd.), recommended at ₹418, with a target of ₹450 and a stop loss at ₹405.

BEL has been a standout in the Indian markets, particularly in defence and technology circles:

 

• • After a long rally from lower levels, the stock consolidated before resuming its upward trend, a pattern that often precedes further gains.

• • It was trading above the 20- and 50-day EMAs with these averages flattening and beginning to turn up showing renewed short-term strength.

• • Volume showed a healthy balance: lower during the consolidation, then picking up as prices started to break out again, hinting at fresh buying interest.

Beyond Bagadia’s technical take, many market watchers have highlighted that BEL’s broader business tied to defence electronics, long-term orders and government spending has added a fundamental narrative to its price action in recent years, even if short-term moves depend on charts and sentiment.

 

Putting It All Together

Bagadia’s recommendations were not random picks, nor short-term hunches. Each stock had a defined technical setup, clear entry points, goals and protective stop loss levels, giving traders a structured way to approach the week.

 

This trio a midcap technical setup (Eternal), a blue-chip stalwart (Asian Paints), and a defence PSU favourite (BEL) reflected a blend of sector diversity and chart conviction. For investors, that kind of mix can help soften the blow when broader markets are unsettled.

 

Of course, no strategy is guaranteed all recommendations came with disclaimers that they reflect individual views and are not financial advice but for those watching the charts closely, these three stocks offered clear levels to watch as the week unfolded.

 

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