Large-scale volatility that continues to emanate at this juncture has made it quite difficult to decipher the trend. However, looking at the whole line of activity, we can definitely concur that the trends are not going to be linear and hence one should trade on both sides of the market.
Three stocks to trade as recommended by Raja Venkatraman of NeoTrader:
Best stocks to buy today (All Buy trades are rates of Equity & Sell rates are based on F&O)
Tata Elxsi Ltd: Buy above ₹5,800 | Stop ₹5,685 | Target ₹6,175 (multiday)
ICICI Bank Ltd: Buy above ₹1,440 | Stop ₹1,410 | Target ₹1,525 (multiday)
BSE Ltd: Buy above ₹2,795 | Stop ₹2,720 | Target ₹2,925 (intraday)
Stock market update
On 13 January 2026, Indian equities slipped from early highs as investors booked profits across key sectors amid continued foreign fund outflows. The Sensex closed 250 points lower at 83,627.69, down 0.3%, while the Nifty50 settled at 25,732.30, losing 57.95 points or 0.22%.
Markets had opened positively, extending Monday’s rebound when both indices gained 0.4% after a five-session losing streak that erased nearly 2.5%. Optimism was initially fueled by expectations of progress in India-US trade discussions, following comments from the US envoy.
However, sentiment quickly turned cautious as selling pressure emerged in auto, IT, and pharma counters. Heavyweights such as Larsen & Toubro, Dr. Reddy’s Laboratories, and Cipla declined up to 2%, dragging the benchmarks lower. In contrast, select energy stocks provided support, with ETERNAL and ONGC advancing nearly 3%. Overall, profit-taking and persistent foreign selling capped the market’s recovery momentum.
Outlook for trading
The Nifty is now showing some rebound again and is now testing the support that we have been mentioning around 25,500. The ongoing rise will face challenge at the immediate value area resistances on the Daily chart around 25,900 and 26,100 . A move above this area would force the bearish camp to rethink. While the fight between both groups to claim leadership levels the possibility of the markets turning lower garnered momentum. The pullback is currently being bought into as people are looking for a revival.
While the trends are now witnessing some buying, we could be now entering a critical phase as the week is coming to a close. Now we can revise the supports to around 25,600, where the next set of supports lies, and should be targeted for some buy on dips to emerge. The Put Call Ratio (PCR) has moved below 1 in the Nifty and 1.02 in the Bank Nifty, highlighting a sedate approach by the bullish camp. As the lack of clarity on trends continue, we need to tread the road ahead carefully.
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At the moment, the bearishness has not been able to drag the index much lower. Until we see the Nifty move below 22,500 decisively, the Open Interest data highlights 22,200 as the next set of supports emerging. As the ranging market is in play, we need to be quick in profit taking as the trend does not have sufficient steam to move strongly in either direction.
Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman:
TATAELXSI (Cmp ₹5,793.25)
Why it’s recommended: Tata Elxsi Ltd. is a global design and technology services company, leveraging an AI-first, design-led approach to develop next-gen solutions in areas such as Software Defined Vehicles (SDV), digital health, and immersive technologies. After spending the last few months, the prices have resolutely moved higher on Monday, forming a large body candle. The positive DI is also inching higher, indicating some positive vibes that are emerging. Look to initiate long.
Key metrics:
P/E Ratio: 53.84
52-week high: ₹6,733.50,
Volume: 384.98K
Technical analysis: Support at ₹5,500 | Resistance at ₹6,500.
Risk factors: Intense competition in the fragmented retail market, significant working capital requirements, substantial promoter share pledging.
Buy: Above ₹5,800.
Stop loss: ₹5,620.
Target price: ₹6,175 (two months)
ICICIBANK (Cmp ₹1,437)
Why it’s recommended: ICICI Bank is India’s second-largest private sector bank, offering a wide range of retail and corporate financial services. A reaction into a strong set of supports around the cloud support region, forming a nice rounding pattern. A strong long body candle around the TS & KS bands augurs well for some upside if the market rebounds. A rise in the DI indicates that we can look to initiate a long opportunity here for a push to higher levels. Go long now.
Key metrics:
P/E: 20.74,
52-week high: ₹1,494.10,
Volume: 14.3M.
Technical analysis: Support at ₹1,390, resistance at ₹1,600.
Risk factors: Credit risk from potential increases in non-performing assets (NPAs), intense competition from fintechs, and regulatory pressures.
Buy: Above ₹1,440
Stop loss: ₹1,410
Target price: ₹1,525 (two months)
UNIONBANK (Cmp ₹166.19)
Why it’s recommended: Union Bank of India (UBI) is a major Indian public sector bank, headquartered in Mumbai, offering diverse financial services, known for its extensive network, digital initiatives. With the prices declining into strong cloud support and holding steady in the last few trading sessions near the value support region around 6,000. The revival has surpassed the cloud region, and a strong upside has emerged in the last trading session.
Key metrics:
P/E Ratio: 7.06
52-week high: ₹167.30
Volume: 15.01M
Technical analysis: Support at ₹159 | Resistance at ₹175.
Risk factors: Slower-than-expected revenue growth, managing top-level attrition, and efficiently integrating operations.
Buy: Above ₹166.50.
Stop loss: ₹163.
Target price: ₹171.
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.
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