The benchmark indices extended their winning streak for a second consecutive session on Monday, driven by strength in auto, IT, and metal stocks. Despite an intraday surge of nearly 600 points in the Sensex, profit-booking surfaced at higher levels.
By the closing bell, the Sensex had climbed 455.37 points (0.56%), settling at 82,176.45, while the Nifty gained 148.00 points (0.60%), ending at 25,001.15. Market breadth
Three stocks to buy or sell as recommended by Raja Venkatraman of NeoTrader for Tuesday, 27 May.
ASIANTILES (current market price ₹53.10)
- Why it’s recommended: Asian Granito India Ltd. (ASIANTILES) continues to be an attractive investment option due to its strong market presence, diverse product offerings, and growth potential in the ceramic and tile industry. According to the latest Q4 2025 financial update, the company reported total revenue of ₹423.63 crore, reflecting a 14.12% increase compared to the previous quarter.
- Key metrics: P/E: 43.53; 52-week high: ₹98.20; Volume: 1.60 million
- Technical analysis: Support at ₹42, resistance at ₹70.
- Risk factors: Industry competition, slow growth potential
- Buy: CMP and dips to ₹50.
- Target price: ₹59-62 in 1 month.
- Stop loss: ₹48.
PFOCUS (Current market price ₹105.22)
- Why it’s recommended: Prime Focus Ltd. (PFOCUS) is a leading player in the media and entertainment industry, offering integrated post-production services, visual effects, and digital content solutions. The prices are showing signs of bottoming out and will look to head higher as the prices have formed inverted head and shoulder formation and is looking to breakout to the upside.
- Key metrics: P/E: 15.91; 52-week high: ₹164.89; Volume: 146.13 K
- Technical analysis: Support at ₹95, resistance at ₹125.
- Risk factors: Industry competition, market volatility, elongated operating tailwind.
- Buy: CMP and dips to ₹101.
- Target price: ₹115-118 in 1 month.
- Stop loss: ₹99.
Also Read: Mutual fund holding in NSE-listed firms surpasses direct retail for the first time
DBCORP (Current market price ₹251.20)
- Why it’s recommended: DB Corp. is showing some steady progress and the periodic higher high higher low formation is indicating that the trends are firmly hinting at some potential upside in the coming days. The strong long body candle seen on Monday with a positive crossover as per Ichimoku TS & KS lines are hinting at possible upward drift.
- Key metrics: P/E: 12.06; 52-week high: ₹403.90; Volume: 169.62 K
- Technical analysis: Support at ₹209, resistance at ₹270.
- Risk factors: Tough market conditions, drop in advertising revenues and currency fluctuations.
- Buy: CMP and dips to ₹240.
- Target price: ₹270-277 in 1 month.
- Stop loss: ₹237.
Also Read: ONGC needs a faster ramp-up from KG Basin to beat falling crude prices
Stock Market Recap
The benchmark indices extended their winning streak for a second consecutive session on 26 May, driven by strength in auto, IT, and metal stocks. Despite an intraday surge of nearly 600 points in the Sensex, profit-booking surfaced at higher levels.
By the closing bell, the Sensex had climbed 455.37 points (0.56%), settling at 82,176.45, while the Nifty gained 148.00 points (0.60%), ending at 25,001.15. Market breadth remained positive, with 2,212 stocks advancing, 1,704 declining, and 184 remaining unchanged.
Volatility spiked during the session as India VIX jumped 4.28% to 18.02. Sector-wise, Nifty Auto and IT outperformed, each rising over 1%, while realty, metal, FMCG, consumer durables, and energy stocks also contributed to the uptrend. Banking stocks posted modest gains, with Nifty Bank and PSU Bank inching up by 0.16% and 0.13%, respectively.
Outlook for Trading
Looking at the daily timeframe charts we can conclude that the “buy on dip and sell on rally” market still firmly holds its grip on the market sentiment. We could would encounter some challenges around zones around 25200 for today. With the lower levels continuing to show meaningful support, one can expect them to get activated around the immediate supports around 24800.
On a psychological note, 25000 level has been reclaimed once again. For today we can retain the buy on dip strategy as the Open Interest data now shows that there is not much call writing, leaving the field open for some upside if the trends persisted above major support zones around 24500 levels today as well.
The range is getting tighter and the readings from the Option Data suggests that PCR has moved to 1.00, highlighting that the trends are at a neutral stage as we near the monthly expiry. Like we mentioned, the combination of global tariff threats, cautious investor sentiment, and domestic economic challenges contributed to recent upside that we are witnessing.
Despite the best intentions, the market is unable to conjure up enough strength to continue its upward march. With immediate support around 24800 zone continuing to be held we can expect the momentum to rise as long as this level is not violated.
The steady attempt to buy on every dips has once again given people a reason to hold on to the bullish side of the markets for now. With no clarity on the future course of action, we should be looking at participating with a neutral bias.
Trends continue to remain two-phased and require us to balance on either side. The situation demands for a pragmatic approach to benefit from market participation.
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.
