The index managed to sustain comfortably above the 25,200 mark, indicating that market participants are positioning for a further upside extension amid improving technical and derivatives cues. The BSE Sensex gained 328.72 points (+0.40%), settling at 82,500.82.
Three stocks to buy today by Ankush Bajaj for 13 October
Buy: Oil & Natural Gas Corporation Ltd (ONGC)
- Why it’s recommended: ONGC has been showing a strong uptrend with consistent higher highs and higher lows, supported by robust momentum in the energy sector. The daily RSI stands at 67.5, indicating bullish momentum with room for further upside. The MACD at +3.2 confirms a positive crossover, signaling sustained buying interest, while the ADX at 38.4 suggests a strengthening trend structure. Price action remains comfortably above key short-term averages, highlighting continued accumulation by investors.
- Key metrics: RSI (14-day): 67.5 — bullish and strengthening
MACD (12,26): +3.2 —positive crossover, trend intact
ADX (14): 38.4 — strong trend phase
- Technical view: Sustaining above ₹242 will keep the bullish bias intact, opening room for a move toward ₹254.
- Risk factors: Crude price volatility can impact sentiment. Regulatory changes in exploration or windfall taxes may affect performance.
- Buy at: ₹246.35
- Target price: ₹254
- Stop loss: ₹242
Buy: Divi’s Laboratories Ltd
- Why it’s recommended: Divi’s Laboratories is witnessing renewed buying momentum after a brief consolidation. The daily RSI is at 64.9, confirming bullish momentum. The MACD at +45.1 shows a strong positive crossover, and the ADX at 36.5 indicates a firm uptrend building up. The stock has broken above its short-term resistance zone, suggesting potential for continuation toward higher levels.
- Key metrics: RSI (14-day): 64.9 — bullish momentum
MACD (12,26): +45.1 — positive crossover, trend continuation
ADX (14): 36.5 — strengthening trend
Technical view: Sustaining above ₹6,373 will maintain upward bias, with potential for a move toward ₹6,682.
Risk factors: Pharma export performance linked to USFDA and global regulatory approvals. Currency movements can affect export margins.
- Buy at: ₹6,474.50
- Target price: ₹6,682
- Stop loss: ₹6,373
Buy: Vedanta Ltd (VEDL)
Why it’s recommended: Vedanta continues to show solid technical strength, supported by rising commodity prices and a breakout from consolidation. The daily RSI at 69.4 reflects bullish momentum near overbought zones, indicating strong participation. The MACD at +5.8 confirms an ongoing uptrend, while the ADX at 41.2 signals a well-established and strengthening trend. The stock’s price action suggests sustained demand and possible continuation toward short-term resistance levels.
RSI (14-day): 69.4 — strong bullish momentum
MACD (12,26): +5.8 — trend positive, momentum sustained
ADX (14): 41.2 — robust trend strength
- Technical view: Sustaining above ₹476 will support the bullish setup and pave the way for a move toward ₹495.
- Risk factors: Commodity price volatility and global metal demand fluctuations. Regulatory or environmental challenges in mining operations.
- Buy at: ₹482.20
- Target price: ₹495
- Stop loss: ₹476
Market Wrap
On Friday, Indian markets kicked off the new week on a strong note, extending their upward momentum as buying interest returned across key sectors. After last week’s volatile swings, sentiment turned positive on Monday, with investors showing renewed confidence amid supportive global cues and easing rate concerns.
The NIFTY 50 advanced 103.55 points (+0.41%) to close at 25,285.35, while the BSE SENSEX gained 328.72 points (+0.40%), settling at 82,500.82. The NIFTY BANK outperformed, rising 484.00 points (+0.80%) to finish at 56,897.20, signaling strength in financial heavyweights.
Sectorally, the tone remained upbeat. Realty stocks led the rally with a 1.67% surge, supported by robust moves in PSU Banks (+1.67%) and Pharma (+1.29%). The overall breadth was positive, with only the Metal sector ending slightly lower by 0.91%, reflecting mild profit-taking after recent gains.
On the stock front, Cipla (+3.22%), SBI (+2.15%), and Maruti (+1.75%) provided strong support to the indices, while Tata Steel (-1.45%), TCS (-1.09%), and HDFC Life Insurance (-0.93%) saw minor declines that capped further upside.
Nifty Technical Outlook
The Nifty 50 extended its gains for the third consecutive session, closing at 25,285.35, up 103.55 points or 0.41%, reflecting continued bullish sentiment and follow-through buying at higher levels. The index managed to sustain comfortably above the 25,200 mark, indicating that market participants are positioning for a further upside extension amid improving technical and derivatives cues.
On the daily timeframe, Nifty continues to hold above its short- and medium-term moving averages, with the 20-DMA placed at 25,057 and the 40-DEMA at 24,958, both acting as firm support zones. Momentum indicators further strengthen this positive setup — the daily RSI has improved to 61, suggesting a healthy bullish bias without entering overbought territory, while the MACD has risen to +54, confirming a positive crossover and continuation of upward momentum. These readings indicate that the index is entering a sustained trending phase, supported by strong rotational buying across key sectors.
On the hourly chart, Nifty remains above both its short-term moving averages, with the 20-HMA at 25,165 and the 40-HEMA at 25,112, signaling strong intraday support and trend alignment. The momentum profile on the lower timeframe also reinforces this bullish tone — the RSI remains elevated, indicating robust buying strength, while the MACD continues to hold positive territory, suggesting that dips are being bought aggressively. The alignment between short-term moving averages and momentum oscillators suggests that the index is well-poised for a move toward higher resistance zones in the coming sessions.
Derivatives Setup
The options data further validates the bullish undertone. Total Put OI stands at 22.03 crore, well above Call OI of 15.66 crore, resulting in a positive differential of +6.37 crore, which reinforces the prevailing bullish sentiment. The day’s OI change also supports this trend, with Put OI increasing by 6.98 crore against a modest Call OI addition of 68.75 lakh, generating a strong positive change differential of +6.29 crore — a clear sign of fresh Put writing and short covering in Calls.
The maximum Call OI is positioned at the 26,000 strike, indicating that traders expect limited upside barriers in the near term, while the maximum Call OI addition was seen at the 25,450 strike, suggesting that resistance may emerge around this level. On the Put side, both the highest OI and strongest additions are concentrated at the 25,200–25,300 strikes, confirming this zone as a robust short-term support base. The overall derivatives picture remains distinctly bullish, with rising Put writing and Call unwinding signaling sustained long buildup.
Outlook
The technical and derivative landscape paints a constructive picture for the market. With the 20-HMA crossing above the 40-HEMA and momentum indicators aligned positively, the short-term structure continues to favor the bulls. Sustaining above 25,200–25,250 will likely open the path toward 25,400–25,500 in the near term. On the downside, immediate support is seen at 25,150, followed by a stronger base near 25,000.
As long as Nifty maintains above the 25,000 mark, the broader bias remains firmly positive. Any intraday dips toward support levels are expected to attract renewed buying interest, while a decisive breakout above 25,400 could trigger a momentum rally toward 25,600–25,750 levels in the coming sessions.
The alignment of improving momentum, positive OI dynamics, and supportive moving averages confirms that the short-term trend is decisively bullish, and the index may continue to climb higher in the near term.
Ankush Bajaj is a Sebi-registered research analyst. His registration number is INH000010441. Investments in securities are subject to market risks. Read all the related documents carefully before investing.
Registration granted by Sebi and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.
