Market sentiment remained indecisive on Wednesday as persistent volatility prevented any clear directional breakout. With the broader outlook still shadowed by uncertainty, investors should adopt a cautious, data-driven approach rather than chasing momentum in this unforgiving trend.
Three stocks to trade today, recommended by NeoTrader’s Raja Venkatraman
BANKINDIA (current price: ₹167.34)
Buy above ₹167, stop ₹160, target ₹179 (multiday)
- Why it’s recommended: Bank of India (BOI) is a major Indian public sector bank, established in 1906 and nationalized in 1969, offering a wide range of retail, corporate, and rural banking services. With the prices consolidating into strong cloud supports has created a nice rounding pattern and fuelled a strong surge on Wednesday. The upthrust seen here could result in some continued upward drive. The revival has surpassed the cloud region and a strong upside has emerged in the last trading session.
- Key metrics:
- P/E Ratio: 6.99
- 52-week high: ₹168.40
- Volume: 15.12M
- Technical analysis: Support at ₹145, resistance at ₹170
- Risk factors: Slower-than-expected revenue growth, managing top-level attrition, and efficiently integrating operations
- Buy : above ₹167
- Stop loss: ₹160
- Target price: ₹179 (2 months)
AIAENG (current price: ₹3907.20)
Buy above ₹3910, stop ₹3800, target ₹4125 (multiday)
- Why it’s recommended: AIA Engineering Ltd. is an Indian company specializing in the design and manufacture of high chromium wear-resistant parts for the grinding equipment used in the cement, mining, thermal power, and aggregate industries. A sharp dip into the cloud support region and a revival from thereon is fuelling some revival from here on. A slow rise in DI on the intraday timeframe indicates that we can look to initiate a long opportunity here for a push to higher levels. Go long now.
- Key metrics:
- P/E: 34
- 52-week high: ₹4170
- Volume: 30.59K
- Technical analysis: Support at ₹3700, resistance at ₹4200
- Risk factors: Intense competition, raw material price fluctuations, and a premium valuation that requires sustained high growth to justify
- Buy: above ₹3910
- Stop loss: ₹3800
- Target price: ₹4125 (two months)
APLAPOLLO (current price: ₹2091)
Buy above ₹2091, stop ₹2830, target ₹2250 (multiday)
Why it’s recommended: APL Apollo Tubes (APAT) reported a healthy operating performance in 3QFY26. Post a recent decline the TS & KS supports have managed to fuel some upside and the encouraging newsflow has added more cheer to the prices. The ADX and DMI is now giving us some strong trended action. The volume surge seen is now hinting at some potential upward traction. The charts suggest that we are witnessing some robust action and inviting us for a buying participation.
Key metrics:
P/E Ratio: 78.75
52-week low: ₹1521.20
Volume: 836.45K
Technical analysis: Support at ₹1600, resistance at ₹1750
Risk factors: financial disclosures, high working capital, regulatory scrutiny, and sector-specific dependencies
Sell: below ₹1660
Stop loss: ₹1680
Target price: ₹1625
How the stock market performed on Wednesday
Indian equity markets extended their upward momentum on 28 January, buoyed by optimism surrounding the India-European Union free trade agreement and supportive global cues.
The Sensex climbed 487 points (0.6%) to close at 82,344.68, while the Nifty50 advanced 167 points (0.66%) to settle at 25,342.75, marking a continuation of the previous session’s gains. Investor sentiment was lifted by expectations that the FTA would boost export-oriented sectors and strengthen supply-chain diversification.
Among the Nifty50 constituents, Oil & Natural Gas Corporation, Coal India, and Axis Bank emerged as top performers, each surging up to 6% on strong buying interest. In contrast, Asian Paints and Tata Consumer Products faced selling pressure, slipping as much as 6% and weighing on the broader index. Market breadth remained positive, with midcap and smallcap indices also registering gains, reflecting broad-based participation.
Outlook for trading
A bullish undercurrent drove the markets higher on Wednesday as investor faith in the growth story was reaffirmed, stoking positive sentiment during the festive session. Following a significant recovery from lower levels, we are now anticipating trended price action to emerge. However, one must carefully observe how the path forward unfolds and how we pace ourselves heading into the next series. The long-bodied candle revival from the channel support mentioned yesterday continues to pave the way for further upside. We can now observe that technical trends are finally providing the much-awaited assurance of a market recovery.
Trading remained relatively sedate as trends stayed indifferent, though high intraday volatility saw the Nifty swing 150 points in mere minutes. Despite this, the market successfully surpassed last Friday’s high as positive cues began to emanate. With volumes picking up once again, traders should place a special emphasis on the upcoming Sensex expiry. Daily charts indicate that prices have reached a strong resistance zone at the current close and will require fresh tailwinds to fuel a sustained move higher.
A potential follow-through on Thursday could open the doors for a further 300-point rally toward the heavy cloud resistance formed after the sharp decline at the week's start. While overhead supply will continue to test investor confidence, the swift recovery from lower levels signals that previous highs will likely be challenged again as the market carves out a bullish structure. Nifty has sustained itself above the 25,000 mark and successfully cleared 25,150, paving a path toward 25,400, which now stands as the next major hurdle for bullish momentum.
Open Interest trends are currently signalling renewed strength, making a 30-minute range breakout a crucial metric for traders to monitor before initiating long positions. Pullbacks should continue to be treated as opportunities for accumulation. However, as we head into these resistance zones, inconsistent price action and profit-booking could emerge once more. The Option Chain still reflects certain levels of caution and limited market participation. Nifty is now contesting the 25,500 resistance mark, while Bank Nifty aims to clear 60,000, as technical data hints at bullishness persisting through the week.
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.