Market Trading Guide: Buy CCL Products, Aurobindo Pharma on Feb 1 for up to 8% upside. Here’s why

India’s benchmark index, Nifty, ended its three-day winning streak on Friday, weighed down by selling in metals, financials, and IT stocks. Market sentiment remained subdued amid ongoing concerns over geopolitical tensions, the upcoming Union Budget 2026 on Sunday, and continued weakness in the Indian rupee.

Technical analyst Ajit Mishra said that sustenance above the 25,350 level could result in a further rebound towards the 25,600 zone, while a decisive break below the long-term moving average, the 200 DEMA around 25,150, may derail the recovery and drag the index towards the 24,750–24,900 zone.

"With all eyes on the Union Budget, we expect heightened volatility during the special trading session on Sunday and suggest preferring a hedged approach," the Senior Vice President - Research at Religare Broking said.

Stock markets will remain open on Sunday, February 1, ahead of the Union Budget 2026.

2 stock recommendations for February 1:

Stop Loss: Rs 920

Target: Rs 1,050

CCL Products is showing a recovery attempt within a broader consolidation after correcting from the Rs 1,050 zone. Price has reclaimed the short-term moving averages and is trying to push above a descending trend line resistance near Rs 980–Rs 1,000, which is the key breakout area. The 100 & 200 EMA

cluster around Rs 900–Rs 920 is acting as a strong demand base, where buyers have repeatedly stepped in. RSI moving above 50 supports improving momentum. A sustained close above Rs 1,000 can trigger upside towards Rs 1,050 and Rs 1,100. Failure to clear resistance may lead to range trade, with Rs 920 and Rs 900 as crucial supports to hold.

(Drumil Vithlani, Technical Research Analyst, Bonanza Portfolio)

Stop Loss: Rs 1,150

Target: Rs 1,300

Aurobindo Pharma is showing a constructive technical setup on the daily chart after a prolonged sideways consolidation between Rs 1,150 and Rs 1,220. Price has rebounded from the 100–200 EMA support cluster, indicating strong institutional demand in that zone. The recent bullish candle with rising volumes signals accumulation, while RSI turning up from the 40–45 region reflects strengthening momentum without being overbought. The stock is attempting a range breakout, and sustained trade above Rs 1,220 can trigger fresh upside toward Rs 1,260 and Rs 1,300. Structure remains positive as long as Rs 1,160 holds, keeping the higher-low formation intact and dips buyable within the emerging uptrend.

(Drumil Vithlani, Technical Research Analyst, Bonanza Portfolio)

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)