Stock to buy and sell for 12 February: Raja Venkatraman recommends these three stocks

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Subscribe to enjoy similar stories. India's benchmark stock indices, Sensex and Nifty, tumbled over 1.3% on Tuesday, 11 February, marking their steepest single-day decline in three weeks and extending a five-session losing streak. The selloff was driven by rising trade tensions amid fresh tariffs by US president Donald Trump, persistent foreign fund outflows, and lacklustre corporate earnings.

Globally, investor sentiment remained cautious as Trump’s tariff escalation weighed on equities. Asian markets also struggled, with Hong Kong’s Hang Seng slipping 0.3% and S&P 500 futures down 0.2%. Weak Q3 earnings added to the gloom.

Read this | Hexaware’ billion-dollar IPO: A landmark return to the bourses Among notable earnings disappointments, Eicher Motors plunged 7% after missing profit and margin estimates for Q3 FY25, impacted by higher costs and a decline in high-margin motorcycle sales. On Monday, 10 February, we highlighted that a shift in market sentiment was underway, with significant Call writing around the 23,500 level, signaling mounting pressure that could reinforce bearish momentum. Today, the market is feeling the full impact of FII selling, sharp volatility, and relentless sell-offs, which are beginning to take a toll.

The weakening USD/INR remains a critical factor, prompting a reassessment of our bullish stance. While a likely Reserve Bank of India intervention helped pull the pair down from 87.42 to 86.50, negative global cues could continue to weigh on sentiment. Given the current trend, the "Buy on Dips" approach is no longer advisable, and a "Sell on Rally" strategy should be prioritized.