In conversation with Zee Business Managing Editor Anil Singhvi, market analyst Vikas Sethi said that after 7 consecutive of days of negativity, Indian stock markets are geared up for a bounce back.

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After losing significantly in the last seven trading sessions, it appears the decline will not last long and a bounce back is around the corner, Sethi said.  To play these levels in the short term, Vikas Sethi recommended two buys, both from F&O space.  

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Recommending NMDC stock as his first buy, he said he has picked this stock from the sector that is in focus. He said fundamentally, one cannot doubt the company, plus it also posted a very good Q3 result. It is the biggest iron ore manufacturing company in the country and there was also an announcement about Donimalai Iron Ore Mines in Karnataka, where in the company was given 20-year extension and it has also already started production there too. 

Given Donimalai Iron Ore Mines contributes to 30 per cent of NMDC output, it is a very big news. Also, all metal stocks are performing well despite this fall and it is expected the bounce back in the Indian stock market will only aid their rally. Very short-term immediate target in NMDC Future is Rs 130 and stoploss would be Rs 114, just in case there is further fall in the market."

He picked another stock from gas sector. Recommending Petronet LNG, Sethi said this is also a PSU stock, which should also be bought for short-term target of Rs 260. The stoploss would be Rs 248, he said. Petronet LNG was trading around Rs 251. "This scrip is also likely to benefit from recent developments and announcement made by Prime Minister Narendra Modi regarding bringing this sector under the ambit of GST. This stock is also very cheap from valuation point of view," he added.