Ahead of the Union Budget 2025, Motilal Oswal Securities has identified ICICI Bank, Bajaj Finance, and other stocks as top picks based on technical analysis, highlighting their potential for gains despite market volatility.
As India prepares for the highly anticipated Union Budget 2024-25, set to be presented by Finance Minister Nirmala Sitharaman on February 1, 2025, Motilal Oswal Securities Limited (MOSL) has identified five top technical stock picks that may perform well amid current market volatility. With expectations that the Budget will focus on enhancing capital expenditure, manufacturing growth, and maintaining macroeconomic stability, MOSL’s pre-budget analysis is guiding investors toward large-cap stocks with favorable risk-reward ratios.
About Motilal Oswal Securities Limited (MOSL):
Motilal Oswal Securities Limited is one of India’s leading brokerage firms, providing wealth management and financial services. It offers comprehensive solutions, including equity research, technical analysis, and investment advisory services. MOSL is known for its strategic insights and in-depth market analysis to guide investors in navigating market fluctuations.
In its pre-budget technical outlook, MOSL emphasized that the stock market has experienced a sharp correction recently, but the broader long-term uptrend remains intact. The Nifty index is currently testing crucial support levels, making it an ideal time for a basket approach, particularly focusing on large-cap stocks.
Top 5 Technical Stock Picks by MOSL:
- ICICI Bank
The private sector bank has found strong support near its 200-day exponential moving average (DEMA) and formed a reversal pattern. ICICI Bank has given a trend line breakout on the daily chart and is showing relative outperformance within the Nifty Private Bank sector. - Bajaj Finance
Despite the market weakness, Bajaj Finance has retained its gains and is approaching a flag breakout above ₹7,500. This could indicate a potential upside, making it one of MOSL’s top picks. - SRF
SRF is poised for a breakout above ₹2,635 levels on the weekly chart, showing signs of bullish momentum with a potential Pole and Pennant pattern on the daily scale. - Eicher Motors
Eicher Motors has successfully retested its breakout level and is now trading above its 50-day exponential moving average (DEMA). With positive momentum indicated by the Relative Strength Index (RSI), the stock is expected to continue its upward trend. - UltraTech Cement
UltraTech Cement has formed a strong support base in the ₹10,500-₹10,700 range and has experienced significant volume upticks, signaling a potential bullish trend.
As investors eagerly await the Budget announcement, MOSL’s insights into these top-performing stocks offer opportunities to capitalize on potential gains. Investors and traders are advised to keep a close eye on how the market reacts to policy announcements and adjust their portfolios accordingly.
