Vedanta, ITC, Infosys: Top stocks to trade — Key levels, target prices & stop loss

Indian equity benchmarks extended their weakness for the eight straight session as the muted global cues led by elevated bond yields and crude oil prices weighed on the market sentiments. The BSE Sensex tanked 570.59 points, or 0.79 per cent, to end at 71,909.70, while NSE's Nifty50 dropped 198.50 points, or 0.88 per cent, to settle at 22,421.95.

Select buzzing largecap stocks including Infosys, Vedanta  and ITC are likely to remain under the spotlight of traders for the session today. Here is what Muthuselvaraj M, Research Analyst at Mirae Asset Sharekhan has to say about these stocks for Thursday's trading session:

Vedanta | Range-bound | Resistance: 264 | Support: Rs 238
Vedanta Ltd has formed a 'lower top, lower bottom' pattern on the daily timeframe. The outlook is negative, with a potential drift toward the key support zone between Rs 238 and Rs 230. A move above the 20-day EMA at Rs 264 could trigger a pullback rally toward Rs 275–290. As momentum indicators are showing a negative crossover and a downward trend, we recommend fresh buying only above Rs 264, while maintaining the short-term support at Rs 238. Overall, the stock is expected to trade with a sideways to negative bias.

ITC | Caution | Support: 245
ITC Ltd has been trading flat, forming a downward-sloping channel on the daily timeframe. The price is trading below all short-term exponentials, indicating a lack of momentum. The momentum indicator is also showing sideways movement at lower levels. Hence, the outlook is consolidation at the base for the short term. A break below the key support area of Rs 245 could trigger a further decline. Overall, the stock is expected to continue trading in a consolidation phase at lower levels for the near and short term.

Infosys | Buy | Target Price: Rs 1,105-1,240 | Stop Loss: Rs 980
Infosys Ltd has formed a base following a 'lower top, lower bottom' pattern on the daily timeframe. The price is showing resilience from the base and tracking positive, with the key short-term support identified at 980. Currently, it is trading near the 20-day EMA at Rs 1,045. A break above this level could lead to a rally toward Rs 1,105–1,240. Daily momentum indicators are recovering toward a positive crossover from the oversold zone. We suggest fresh buying above Rs 1,035 on a closing basis, maintaining the key support at Rs 980. Overall, the stock is expected to maintain a positive trend for the near and short term.