Suzlon Energy, Inox Wind, BEL, Mazagon, Tata Power & IndusInd Bank shares: MOFSL's Ruchit Jain weighs in

Amid the ongoing selloff in domestic benchmarks, investors may look for buying opportunities in select defence and energy stocks, according to Ruchit Jain, Head – Technical Research at Motilal Oswal Financial Services Ltd (MOFSL).

From the defence space, Jain prefers Bharat Electronics Ltd (BEL) and Mazagon Dock Shipbuilders Ltd, noting that the sector has already undergone a meaningful correction over the past several months.

"One can take fresh positions in BEL. The entire defence sector has already undergone both price-wise and time-wise correction over the last six to seven months, and BEL has been one of the relative outperformers within the space. So, the downside could be limited from here on," he told Business Today.

From a positional perspective, Jain added that the downside may also remain limited in Mazagon Dock Shipbuilders.

In the energy segment, he believes Tata Power Company Ltd could see strong performance after a prolonged consolidation phase.

"Tata Power has been consolidating for nearly one and a half years. After this consolidation, the stock may witness good outperformance going ahead," Jain said.

With that being said, Jain remains cautious on Suzlon Energy Ltd. "There could be short-term pullback moves, but the monthly charts are not looking good. Earlier, the stock had moved above its key moving averages on the monthly charts, but those averages have now been broken. So I don't think one should expect that kind of strong trending move again anytime soon. I would avoid buying Suzlon at current levels," he said.

On Inox Wind Ltd, Jain suggested a sell-on-rise strategy. "I think sell on rise should be the theme for this stock. It has been an underperformer, and momentum indicators are currently oversold, so there could be intermittent pullback moves. However, major resistance on positional charts is placed around Rs 100–105. If the stock moves towards that range, it should be used as an opportunity to exit," he explained.

Commenting on IndusInd Bank Ltd, Jain said the near-term outlook remains weak. "The short-term outlook remains negative. We may see a dip towards Rs 800 in the near term. If it breaks below Rs 800, then the next major support would be around Rs 770. So the near-term trend looks weak," he added.