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Stock market recap: Benchmark indices Sensex and Nifty closed higher on Monday, with the Sensex gaining 564 points and the Nifty rising for a fourth consecutive session, supported by easing crude oil prices, fresh foreign fund inflows and gains in global equities. The 30-share BSE Sensex climbed 564.03 points, or 0.76%, to settle at 74,858.99, its highest level in more than a week. It rose as much as 692.44 points, or 0.93%, to 74,987.40 during the day. The 50-share NSE Nifty rose for a fourth straight session, gaining 67.90 points, or 0.29%, to close at 23,414.30. Among the 30 Sensex constituents, UltraTech Cement was the top gainer, rising 4.11%. HCL Technologies, Eternal, Titan, ITC and Tech Mahindra were also among the prominent gainers. Bharti Airtel, Power Grid Corp., Infosys, and Adani Ports were among the laggards. Two stock recommendations by MarketSmith India: Buy: DEE Development Engineers Ltd (current price: ₹682) - Why it’s recommended: Strong Order Book Visibility: The company maintains robust long-term revenue visibility with an order book exceeding ₹2,428 crore, driven by a surge in domestic and international process piping contracts. High-Value Product Shift: Transitioning the manufacturing mix from conventional carbon steel to higher-margin stainless steel and high-alloy steel grades (P91/P92) is significantly boosting EBITDA margins. - Key metrics: P/E: 61.63, 52-week high: ₹760.00, volume: ₹19.67 crore - Technical analysis: Reclaimed its 50-DMA - Risk factors: Heavy Client Concentration: A massive portion of total revenue depends on a handful of key industrial customers without long-term legal contracts, creating vulnerability if a key account is lost. Power Segment Drag & Regulatory Hurdles: The non-core power generation division remains exposed to tariff disputes and regulatory stay orders, which have historically caused financial friction. - Buy: ₹675–685 - Target price: ₹790 in two to three months - Stop loss: ₹640 Buy: Aegis Logistics Ltd (current price: ₹1,479) - Why it’s recommended: Massive Infrastructure Capacity Scaling: Aggressive volume growth is backed by continuous capacity additions in bulk liquid terminals and LPG handling facilities at major ports like JNPT and Haldia. Rising Industrial Gas Sourcing Demand: The expansion of LPG import logistics and gas distribution network is capitalizing on India's long-term industrial shift toward sustainable fuel sources. - Key metrics: P/E: 33.66, 52-week high: ₹1,500.20, volume: ₹262.37 crore - Technical analysis: Consolidation base breakout - Risk factors: Geopolitical Supply Chain Vulnerabilities: Supply chain dependency on Middle Eastern LPG sourcing introduces earnings volatility during sudden geopolitical or maritime trade disruptions. Long-Term Alternative Fuel Substitution: Regulatory pushes toward green hydrogen, domestic piped natural gas (PNG), and electric alternatives could gradually cap or compress long-term LPG demand. - Buy at: ₹1,464–1,486 - Target price: ₹1,690 in two to three months - Stop loss: ₹1,380 How Nifty 50 performed Nifty 50 began the session on a mildly negative note at 23,330.20 but found buying support after touching an intraday low of 23,314.80. The recovery gathered momentum during the session, carrying the index to a high of 23,466.80 before it closed at 23,429.00, up 82.60 points, or 0.35%. The resulting bullish candle extends the rebound from the recent low near 23,100, although the upper shadow shows some selling pressure around 23,450–23,470. Trading volume stood at 207.36M. Despite the recovery, the index continues to trade below its 21-, 50-, 100-, and 200-DMA, keeping the broader trend weak. The recent advance should therefore be viewed as an early recovery attempt rather than a confirmed reversal. Momentum indicators showed tentative improvement. The RSI rose to 37.54 and moved above its average of 32.54, suggesting that the index recovered from near-oversold conditions. However, the RSI remains well below 50, indicating that sellers continue to maintain the broader momentum advantage. MACD stayed negative, with the MACD line at −244.93 below the signal line at −208.91. The histogram remained negative at −36.01, confirming an ongoing bearish setup. Nevertheless, the shrinking negative histogram suggests that downward momentum is gradually losing intensity. A bullish MACD crossover has not yet emerged, while no decisive positive divergence is visible on the daily chart. Immediate support is located at 23,315, followed by 23,200 and the recent swing zone of 23,050–23,100. A breakdown below 23,000 could expose the index to another leg of weakness. On the upside, 23,465–23,500 is the first hurdle, while the declining 21-DMA (23,771) represents the next important resistance. Beyond this, 23,945–24,065 could restrict a stronger recovery. The near-term bias remains cautiously negative unless Nifty decisively reclaims 23,500 and sustains above its 21-DMA. Softer crude prices and domestic institutional buying may decline cushion, but elevated U.S. yields, geopolitical uncertainty, and persistent FPI selling could keep volatility high How did the Nifty Bank perform? Nifty Bank opened marginally positive at 56,361.90 and initially slipped to an intraday low of 56,269.55. Buying interest from lower levels subsequently lifted the index to a high of 56,668.20 before it settled at 56,494.90, gaining 136.20 points, or 0.24%. However, the index surrendered a portion of its intraday gains near the upper end of the day’s range, indicating persistent selling pressure around 56,650–56,700. The session formed a small bullish candle with wicks on both sides, resembling a spinning-top formation and reflecting indecision between buyers and sellers. Despite the positive close, Nifty Bank remained below its 21-, 50-, 100-, and 200-DMA, suggesting that the broader technical structure continues to favour caution. The RSI improved to 44.62 and remained above its signal average of 42.24, indicating a modest recovery in short-term momentum. Nevertheless, its position below the neutral 50 mark suggests that bullish strength remains insufficient to confirm a sustainable reversal. MACD remained below zero, with the MACD line at −330.92 trailing the signal line at −259.99. The negative histogram reading of −70.93 confirms that bearish momentum remains active, although its recent contraction suggests that downside pressure may be stabilizing. No clear bullish divergence or crossover is visible yet. Therefore, further price confirmation is required before interpreting the rebound as a meaningful trend reversal. Immediate support is placed around 56,270, followed by the psychological 56,000 level and the recent swing zone near 55,500–55,600. On the upside, 56,530–56,670 represents the first resistance band, comprising the 100-DMA and the session’s high. A sustained breakout above this zone could lift the index toward 57,000, followed by the 57,290–57,315 cluster. The near-term outlook remains range-bound with a cautious bias until Nifty Bank decisively reclaims 56,670 and 57,000. Easing crude prices and domestic institutional buying may provide support, but elevated U.S. yields, geopolitical uncertainty, and continuing FPI outflows could restrict upside momentum. A break below 56,000 would revive selling pressure. MarketSmith India is a stock research platform and advisory service focused on the Indian stock market. It offers tools and resources to help investors make informed decisions based on the CAN SLIM methodology, founded by legendary investor William J. O'Neil. You can access a 10-day free trial by registering on its website. Trade name: William O’Neil India Pvt. Ltd. Sebi Registration No.: INH000015543 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.
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