Driven by easing geopolitical tensions and a landmark US-Iran peace deal, Indian equities rallied sharply on Monday, with the Sensex surging 736 points and the Nifty climbing 231 points to hit fresh intraday highs.
The broad-based rally, led by outperforming midcap and smallcap indices, was further supported by Brent crude slipping below $90 per barrel, which cooled inflation fears and strengthened the rupee by 47 paise.
Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman
TATACAP (current price: ₹340.70)
Buy above ₹343, stop ₹325, target ₹375 (multiday)
- Why it’s recommended: As the flagship financial services arm of the Tata Group, Tata Capital Limited operates as an Upper Layer NBFC, offering a comprehensive suite of retail, corporate, and institutional products across India. After declining all year and facing selling pressure on every rally, the stock finally hit strong support in June. A double-bottom formation triggered robust buying interest, leading to a sharp breakout on Monday. Coupled with an upward reversal in the Relative Strength Index (RSI) from neutral territory, the technical setup favors initiating a long position.
- Key metrics:
- P/E: 45.19,
- 52-week high: ₹367.65,
- Volume: 4.65M
- Technical analysis: Support at ₹310, resistance at ₹425.
- Risk factors: Interest rate volatility, short-term asset-liability mismatches, and significant unsecured loan exposure.
- Buy : above ₹343.
- Stop loss: ₹325.
- Target price: ₹375 (2 Months)
GABRIEL (current price: ₹1146.85)
Buy above ₹1150, stop ₹1100, target ₹1250 (Multiday)
- Why it’s recommended: Established in 1961, Gabriel India Limited is the flagship auto-ancillary company of the ANAND Group. It is a leading manufacturer in the ride control segment, producing shock absorbers, struts, and front forks for two-wheelers, passenger cars, commercial vehicles, and railways. Following a strong surge since April 2026, the stock experienced mild profit booking before finding steady support near the Ichimoku cloud region. It has managed to hold its highs despite recent market fluctuations, and the formation of a long-bodied bullish candle indicates genuine buying interest at lower levels, signaling potential for further upside.
- Key metrics:
- P/E Ratio : 67.57,
- 52-week high: ₹1386.45,
- Volume: 1.93M.
- Technical analysis: Support at ₹1040, resistance at ₹1200.
- Risk factors: Customer concentration, macroeconomic cyclicality in the automotive sector, and margin pressure from rising finance and raw material costs.
- Buy : above ₹1150
- Stop loss: ₹1100
- Target price: ₹1250 (2 Months)
AEGISVOPAK (current price: ₹231.69)
Buy above ₹233, stop ₹222, target ₹255 (Multiday)
- Why it’s recommended: Aegis Vopak Terminals Ltd. is India’s largest independent third-party owner and operator of liquid and gas tank storage terminals. After a period of consolidation, the stock is staging a steady revival. Strong Q4 earnings have triggered fresh buying interest, driving prices higher on robust volumes. This momentum is supported by the Relative Strength Index (RSI), which is firmly heading upward and signaling a strong bullish bias with room for further gains.
- Key metrics:
- P/E Ratio : 94.25,
- 52-week high: ₹302,
- Volume: 2.33M.
- Technical analysis: Support at ₹200, resistance at ₹300.
- Risk factors: Heavy customer concentration, geographic vulnerability, high leverage, commodity price cycles, and regulatory changes.
- Buy : above ₹233
- Stop loss: ₹222
- Target price: ₹255 (2 Months)
How the stock market performed on Monday
Indian equities rallied sharply on 15 June as easing geopolitical tensions and a US–Iran peace deal boosted investor sentiment. The Sensex surged 736 points to close at 76,264, while the Nifty advanced 231 points to settle at 23,854, with both indices touching fresh intraday highs before mild profit booking. The rally was broad-based, with midcap and smallcap indices outperforming benchmarks, rising nearly 1.5% each. Falling crude prices, with Brent slipping below USD 90 per barrel, eased inflationary concerns and strengthened the rupee, which appreciated 47 paise to 94.71 against the dollar.
Sectorally, realty, cement, auto, and financials led the gains, while pharma and healthcare lagged. Market breadth remained strong, supported by widespread advances and institutional buying. Overall, the session reflected renewed confidence as global cues turned supportive, driving benchmarks higher and positioning the Nifty near the 23,850 mark and Sensex above 76,200, signaling robust momentum across sectors.
Outlook for trading
Friday’s strong upward move carried into Monday with a significant gap-up opening as details surrounding the US-Iran peace deal became clearer. While lingering geopolitical tensions may present hurdles ahead, the current technical setup shows the market's capacity to navigate this volatility. However, sentiment remains cautious, given that the official final approval of the deal is not expected until the end of the week.
As hesitant buyers step back into the market—particularly within the large-cap space—visible follow-through buying is encouraging participants to go long. Because recent trends have been difficult to read, we are seeing regular bouts of profit-booking on rallies. Nevertheless, with broader indices now showing coordinated strength, there is a strong possibility that a market bottom has been established.
This brings welcome relief after several punishing months where a lack of clarity left traders guessing. The volatile whipsaw action frequently caught participants off guard, surging to higher highs right after shorts were deployed or longs were liquidated.
As seen in the chart, this powerful thrust has brought the index to a critical resistance zone, requiring further momentum to break higher. If geopolitical resolutions continue to progress, the index could challenge this 24,000–24,200 resistance level later this week. A decisive local trigger will give market participants a concrete trend to focus on, moving away from the recent vacuum where domestic equities merely mirrored choppy global cues.
The anticipated wave of strong short-covering has driven the index to its current levels. However, traders should be prepared to scale positions carefully, given the heavy news flow and volatile geopolitical tensions impacting market sentiment. While we await further positive updates, key overhead resistance levels remain crucial to watch. Meanwhile, the previous resistance band of 23,750–23,800 has now flipped and is expected to act as strong support.
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.