Equity benchmarks demonstrated strong resilience on October 13, with the SENSEX surging over 400 points and the NIFTY50 reclaiming the crucial 22,700 level. According to Upstox Securities, the NIFTY50 rose 358.60 points, or 1.60%, to close at 22,721.95 and the SENSEX gained 1,109.10 points, or 1.54%, to settle at 73,033.78. The index opened at 22,364.15, briefly declined to 22,288.45, and then recovered steadily to close at the day's high, signalling sustained buying interest. The headline index managed to close above its crucial 200-week MA, marking a significant technical milestone after recent weakness. This recovery comes after the previous session's pressure, where the Nifty 50 had fallen 0.7 percent amid weak market breadth, with around 1,705 stocks declining compared with 1,580 advancing on the NSE. Market breadth was positive with 2,128 stocks advancing, 1,418 stocks declining, and 98 remaining unchanged, indicating broad participation across the market.
IT was the standout sector, rising more than 3%, as HCL Tech jumped about 7% after strong profit growth, improved margins, and an upgrade to the lower end of its full-year revenue forecast. According to Upstox Securities, Tech Mahindra, Tata Consultancy Services, Infosys and HCL Technologies were among the top movers in the SENSEX. The rally came despite data released on Monday showing that retail inflation rose 5.54% in September from 4.83% in August, while food inflation climbed to 7.74%, keeping the possibility of further RBI rate hikes alive. Even so, domestic institutional buying helped absorb foreign selling, and a firmer rupee supported sentiment. Hindustan Unilever and Bajaj Auto added about 3% each, while FMCG, PSU Banks, Auto, Metals and Consumer Durables also gained between 1.15% and 1.56%.
Gabriel India has witnessed a bullish breakout following consolidation above its 100-day double exponential moving average (DEMA), with the stock trading at ₹1,401.2. As reported by Anand Rathi's Jigar S Patel, the Relative Strength Index (RSI) is trading above the crucial 50 mark on both daily and weekly charts, signalling positive momentum across short- and medium-term timeframes. The combination of the price breakout and positive RSI readings strengthens the bullish technical outlook, with traders advised to consider long positions in the ₹1,380-1,405 zone targeting ₹1,495 with a stop-loss at ₹1,320.
MarketSmith India has issued two new stock recommendations for October 14, targeting AI-focused technology companies. The first recommendation is eClerx Services Limited (current price: ₹1,961) with a buy range of ₹1,941-1,971 and target price of ₹2,280 in two to three days with a stop loss at ₹1,850. According to MarketSmith India, the company benefits from strong demand for AI-powered analytics, digital operations, automation, and business process transformation services from global Fortune 2000 clients. The second recommendation is Coforge Limited (current price: ₹1,929) with a buy range of ₹1,910-1,939 and target price of ₹2,200 in two to three months with a stop loss at ₹1,830. As reported by MarketSmith India, the company's robust order book and AI-led engineering capabilities provide long-term revenue visibility. Additional trading recommendations include Balrampur Chini Mills (target: ₹770, stop-loss: ₹690), Canara Bank (target: ₹125, stop-loss: ₹117), PNB Housing Finance (target: ₹1,260-₹1,300, stop-loss: ₹1,170), Meesho (target: ₹262-₹280, stop-loss: ₹230), and Oberoi Realty (target: ₹1,840, stop-loss: ₹1,660).
Cipla faces increasing technical weakness after breaking below major pivot support at ₹1,340-1,345, which also coincides with the 200-week EMA. According to GEPL Capital's Vidnyan Sawant, the weekly RSI remains within the bearish range of 20-60 and has formed a triple top near the 60 mark, highlighting repeated resistance to bullish momentum. The weekly RSI has faced resistance near 50, while the daily RSI has slipped below 30, indicating deeply oversold short-term conditions. Despite the possibility of intermittent technical rebounds, the broader momentum remains weak, with traders advised to consider short positions in the ₹1,320-1,330 zone targeting ₹1,220 with a stop-loss at ₹1,370.
