As India and the European Union celebrate the finalization of their Free Trade Agreement (FTA) after 18 years of negotiations, market analysts are closely watching for potential impacts on the Indian stock market. Amidst this buzz, Vaishali Parekh, a market expert, has recommended three intraday stocks for traders to consider.
The India-EU FTA, hailed as a "mother of all deals" by European Commission President Ursula von der Leyen, is expected to significantly boost trade and economic ties between the two regions. The agreement aims to eliminate or reduce tariffs on over 90% of EU goods exported to India, potentially doubling EU exports to India by 2032. India will also benefit from the deal, with tariffs cut to zero on a vast range of products, including marine goods, leather, chemicals, and gems.
However, some analysts suggest that the market's initial reaction to the FTA has been lukewarm. Choice Broking expert Vaishali Parekh noted that the Nifty 50 index indicated a bearish candle with selling pressure due to weak global cues. The index has support near the 25,000 zone, and a break below this level could trigger further selling. On the upside, a decisive breach above 25,500 is necessary to establish conviction and clarity. Parekh also observed that the Bank Nifty index has weakened, with a huge bearish candle formation, and would need a decisive move past the 59,500 zone to expect some stability.
Despite the cautious market sentiment, Vaishali Parekh has identified specific stocks that could offer intraday trading opportunities. On January 27, 2026, she recommended the following three stocks:
- Sanathan Textiles: Buy at ₹425, Target ₹450, Stop Loss ₹415.
- Oracle Financial Services Software (OFSS): Buy at ₹7850, Target ₹8200, Stop Loss ₹7800.
- Lupin: Buy at ₹2138, Target ₹2200, Stop Loss ₹2090.
These recommendations are based on Parekh's technical analysis and are intended for intraday trading, meaning traders should aim to close their positions within the same trading day. It is important to note that intraday trading involves significant risk, and traders should carefully consider their risk tolerance and conduct thorough research before making any investment decisions.
The India-EU FTA is a significant development with the potential to reshape trade relations and boost economic growth. While the immediate market impact may be uncertain, traders can look for specific opportunities in individual stocks based on expert recommendations and technical analysis. As always, prudent risk management is crucial for success in the stock market.
