Indian stock markets picked up today from gains made on Tuesday and were trading positively. The Nifty50 was trading at 17,533.60 at 2:20 pm, rising by almost 30 points or 0.17 per cent from the last closing. Meanwhile, the 30-share BSE Sensex, was trading marginally up by almost 8 points at 58,672.45. Even as gains made by Nifty50 and Sensex were subdued, individual indices were making big moves. 

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Out of the 15 sectoral Nifty indices, 9 were in the green while the remaining six traded in the red around this time. Some of the best performing indices were Nifty Media, Nifty PSU Bank, Nifty Bank and Nifty Metal.  

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However, Technical Analyst Nilesh Jain set his eyes on the Nifty Oil & Gas index, a picked three stocks that he said could see an upside from here. 

This sector has been in news amid supply side issues flaring up and major economies digging in their reserves. The United States said on Tuesday it would release millions of barrels of oil from strategic reserves in coordination with China, India, South Korea, Japan and Britain, to try to cool prices after OPEC+ producers repeatedly ignored calls for more crude, a Reuters report said. 

Oil prices edged higher on Wednesday, extending gains from the previous day, as investors remained sceptical about the effectiveness of a US-led release of oil from strategic reserves and turned their focus to the next step by oil producers, this report said. 

Jain’s optimism however stemmed from the movement of individual stocks and their positioning on technical charts.  

Nifty Oil & Gas index was trading at 7,674.60, up by almost 104 points or 1.4 per cent. In the 15-share index, 12 stocks advanced around this time while three declined. The biggest gainers were Oil & Natural Gas Corporation Limited (ONGC), Hindustan Petroleum Corporation Limited and Bharat Petroleum Corporation Limited (BPCL). The stocks were up 6 per cent, 3.5 per cent and 2.6 per cent respectively. 

The top losers were Castrol India Limited, Reliance Industries Limited and Adani Total Gas Limited which were down 0.19 per cent, 0.63 per cent and 0.90 per cent respectively. 

Jain, who is who is Assistant Vice President (AVP), Equity Research Technical and Derivatives at Centrum Broking picked ONGC, Indian Oil Corporation Limited (IOC) and Gujarat Gas Limited.   

ONGC: Buy| LTP: Rs 154| Target: Rs 168| Stop Loss: Rs 147| Upside 9% 

Jain said that ONGC shares have emerged from a falling trend line pattern and the current chart pattern suggests a morning star formation which is an indicator of a bullish trend. He said that momentum indicators like RSI (Relative Strength Index) and MACD (Moving Average Convergence Divergence) is showing a reversal from oversold territory.   

IOC: Buy| LTP: Rs 127| Target: Rs 140| Stop Loss: Rs 125| Upside 10% 

IOC shares have seen a breakout from multiple swing lows at levels round Rs 123. It is expected to test its 52-week high levels of Rs 141, Jain said. He said that a positive momentum in this stock is expected going forward. 

Gujarat Gas: Buy| LTP: Rs 658| Target: Rs 700| Stop Loss: Rs 630| Upside 6%  

This stock was trending with a positive bias today and was up 1.6 per cent from the last closing price of Tuesday. The stock has seen a reversal after falling for four consecutive sessions, the AVP said. He said that an upside is open at current levels.  

All three stocks can be bought for short to positional term gains, he added.      

(Disclaimer: The views/suggestions/advises expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)