RBL Bank to Mankind Pharma - Jay Thakkar suggests 3 stocks to buy or sell for short-term in F&O segment

Stock market today: Indian benchmark indices, Sensex and Nifty 50, recovered in early trade on Wednesday, rebounding from the previous session's losses as banking stocks advanced and softer-than-expected US inflation data boosted hopes that the Federal Reserve could adopt a less hawkish approach to monetary policy.

The BSE Sensex surged 553 points to 77,603.57, while the NSE Nifty 50 climbed 148.15 points to 24,198.40 in early deals.

Despite the recovery, investor sentiment remained cautious amid escalating geopolitical tensions in the Middle East. The US and Iran continued to exchange strikes, while tensions over control of the Strait of Hormuz kept markets on edge.

Meanwhile, Brent crude rose 1.4% to around $86 per barrel after US President Donald Trump reinstated a naval blockade on Iranian ports, prompting retaliatory strikes by Tehran on US infrastructure in the Middle East.

Global risk sentiment, however, found support from weaker-than-expected US inflation data. Softer inflation reinforced expectations that the Federal Reserve may refrain from raising interest rates in the near term, lifting Wall Street overnight and supporting Asian markets.

Cooling US inflation is generally positive for emerging markets, including India, as it reduces pressure on the US dollar, lowers the likelihood of aggressive Fed tightening, and improves the prospects for foreign capital inflows into risk assets.

The Index closed in negative territory on the day of the weekly expiry session; however, it managed to hold on to the 24,000 level, which had the highest put base for the day and for this series as well.

On the upside, 24,200 and 24,300 are the critical resistance levels, and until those levels are taken off, the short-term trend remains sideways to negative. The India VIX has now started to move higher again; however, it remains within the 11-16 tolerance band, meaning that until it closes above 16, the downside risk is limited.

The FII index short positions remain elevated at 2.55 lakh contracts as of 13/7/2026, so the upside potential in the India VIX looks limited. The short-term rise in crude oil prices also appears to be a bounce rather than a fresh leg up, hence the markets are likely to trade within a short-term range of 24,500-23,500 levels, which is a 1,000-point range, and until it is not broken on the either side, the traders can trade with a neutral strategy on the Index.

The BankNifty has also been consolidating within the 58,500-57,000 range, and only a breakout from this range will lead to further momentum. However, the Nifty Midcap Select has formed a breakout with long buildup, and as long as the 14,300 level is not broken, it remains in an uptrend.

Jay Thakkar of ICICI Securities recommends RBL Bank futures, PG Electroplast futures, and Mankind Pharma futures.

RBL Bank has been trending higher holding on to its 20 day mean, however, there is no major rise on the open interest which is a concern but the price action is positive and the stock is outperforming its peers in the near term. As per the options data, there has been a significant put addition at the lower levels from 350-380 strikes and on the upside the call base is directly at 400 levels only, hence the second target is 400. The stock is also trading well above 370 levels which is its max pain level and it is likely to act as a short-term support.

PG Electroplast has provided a breakout from the multiple swing resistances and there has a clear long addition as well indicating a clear reversal from down to up. As per the options data, there has been significant put additions right from 550 to 600 strike with 560 and 580 strikes having highest put base whereas apart from 600 strike there is no major hurdle as that is the only strike that has the highest call base so above those levels there is a higher probability of an upside. The max pain is at 580 and it is trading well above those levels, so it will act as a short-term support. There is been a...