Stock market recap: The Nifty 50 fell another 0.61% to settle at 23,635, while the Sensex declined 0.73% to close at 75,577.
Broader markets, however, recovered from their intraday losses, with the Nifty Midcap 100 and Nifty Smallcap 100 ending 0.21% and 0.17% higher, respectively.
Sectoral performance was mixed. Private banks, oil and gas, cement and technology stocks closed lower, while media, pharma, chemicals and FMCG stocks ended higher.
In commodities, Brent crude futures climbed further to trade near $100 a barrel as geopolitical tensions escalated. Attacks on oil tankers and energy facilities have heightened concerns about supply disruptions and further tightening in global oil markets.
India is particularly vulnerable to rising crude prices, importing more than 80% of its crude oil requirements. A sustained increase in oil prices could add to inflationary pressures and weigh on the rupee. Prolonged elevated crude prices could also raise input costs and squeeze corporate profit margins.
Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman
FINCABLES [Cmp ₹1353.40 - Buy above ₹1355, stop loss ₹1290, target price ₹1475 (Multiday)]
- Why it’s recommended: Finolex Cables Ltd is India's largest manufacturer of electrical and telecommunication cables. Since August 2026 the stock has been making slow and steady upward trajectory indicating accumulation as the prices take support at the Kijun Sen lines and are slowly heading higher. The strong thrust seen post its numbers indicates some steady buying interest. The long body candle thrust that is seen in the last two trading sessions has been attracting attention. With the Average Directional Index firmly inching higher , it can lead to some strong upward move in the coming weeks. Go long.
- Key metrics:
- P/E Ratio : 27.50,
- 52-week high: ₹798.68,
- Volume: 2.87M
- Risk factors: Copper and aluminum dependance, family disputes and management continuity.
- Buy : above ₹1355.
- Stop loss: ₹1290.
- Target price: ₹1475 (2 Months)
SARDAEN [Cmp ₹545.85 - Buy above ₹549, stop loss ₹519, target price ₹605 (Multiday)]
- Why it’s recommended: SARDAEN, is an integrated steel, ferroalloys, and power producer incorporated in 1973. After some strong upward drift seen from march the stock was in a sideways drift after some profit booking. Post its debut the strong performance numbers pushed the prices into consolidation after weeks of ascent. With a strong push seen in the last few days forming a base around 270 the last week we can expect the upward momentum to continue. As potential for sustained buying emerges, we should consider going long.
- Key metrics:
- P/E: 20.84,
- 52-week high: ₹639.95,
- Volume: 5.27M.
- Technical analysis: Support at ₹480, resistance at ₹680.
- Risk factors: Operational vulnerabilities and macro risk sensitivity.
- Buy : above ₹549
- Stop loss: ₹519
- Target price: ₹605 (2 Months)
PINELABS [(Cmp ₹175.08 - Buy above ₹176, stop loss ₹168, target price ₹189 (Multiday)]
- Why it’s recommended: Pine Labs is a prominent multinational financial technology company headquartered in Noida, India, that provides merchant commerce and digital payment solution. In the few days the sharp decline from the highs saw the prices dip beneath the cloud region and consolidate. The last session thrust from the making a rounding pattern to move above recent set of resistances around 170 has helped the prices revive. Also, support from volumes has created pushed prices higher. As the prices have finally given a closing above it with a long body candle suggesting a strong bullish bias. We can see now that the strong thrust on the back of volumes can augur well for the prices.
- Key metrics:
- P/E: 117.98,
- 52-week high: ₹283.70,
- Volume: 40.67M.
- Technical analysis: Support at ₹155, resistance at ₹200.
- Risk factors: Profitability and margins, technological & operational disruptions and customer concentration.
- Buy : above ₹176
- Stop loss: ₹168
- Target price: ₹189 (2 Months)
How the stock market performed on 9 September
On 9 September, Indian equities faced a sharp downturn as heightened US-Iran tensions and surging crude oil prices weighed on sentiment. The Nifty slipped below the 23,450 mark, closing at 23,431.50, its lowest level in three months, while the Sensex tumbled 813 points to 74,764.23. Despite a brief recovery attempt in the afternoon, benchmarks ended at the day’s low, reflecting persistent selling pressure.
IT and realty stocks led the decline, with Infosys, HCL Tech, Tech Mahindra, HDFC Life, and Wipro among the top laggards. Sectorally, metals and energy indices bucked the trend, rising 1.8% and 0.6%, respectively, while IT fell over 3% and realty shed 2%. Broader markets also slipped, though midcaps and smallcaps limited losses to 0.5%.
Adani Ports surged nearly 4% on a Paradip Port project win, Graphite India jumped 15% after electrode price hikes, while Coforge and Raymond dropped 5% each. The rupee weakened further, closing at 95.10 against the dollar.
Outlook for trading
When the market gapped lower after Nifty expiry, it was expected to head lower and breach the important 23,700 support level we have been discussing. With no sign of recovery after the initial volatility, continued selling pressure on every rally signals weakness.
Currently, trends are being dictated by overseas tensions, with bullish expectations often coming to nought as prices pull back after making intraday highs. Wednesday’s trading saw prices unable to hold their highs for most of the session. The market was dull, with intraday moves also quite stilted.
As a result, the market has been largely uneventful. In last week’s article, we wrote, “The moves are too tentative as yet to be meaningful from the point of view of drawing any specific conclusions. So, at best, one can only state that the declines appear to be on hold.” This remains the case at the end of the current week, with the market churning around the same zone while attempting to move higher. But those efforts remain quite listless.
After appreciating, USDINR appears to have reached a neutral zone and is now showing signs of revival, suggesting that the trend ahead could be volatile ahead of the RBI policy. The RBI, after much hesitation, has been selling some dollars to keep the rupee’s slide under control. But with most other global currencies also weakening against the dollar, the rupee remains under pressure. As stated earlier, a weak rupee is often accompanied by bearish or range-bound trends in equities. We are witnessing that right now.
Moving to the daily charts, we find that bearish pressure continues to hang over the indices. At the same time, there has been steady action around key support levels. We witnessed a volatile beginning to the September series, and the road ahead still appears murky, with little clarity in the market at present.
A piercing candle formation on Tuesday has once again opened up the possibility of a revival. The 23,200-23,300 zone remains well tested. The Relative Strength Index (RSI) is showing some divergence, although this needs further confirmation. The long-term trendline support will first need to hold for a sustained revival to emerge.
With the market continuing to focus on incoming US data, knee-jerk reactions are likely to persist. This state of affairs may continue until quarterly results begin to come in more fully.
There is no sign of short covering yet, while the lack of buying interest is keeping a lid on any recovery. However, after the continued attempt to move lower within a range-bound market, some short covering could emerge today. Nifty will now look to 23,420, a Fibonacci cluster that has turned into the next support level. If the recovery gathers momentum, every pullback could offer an opportunity to buy.
Raja Venkatraman is co-founder, NeoTrader. His Sebi-registered research analyst registration no. is INH000016223.
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 guarantees 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.