Indian stock indices break eight-week losing streak as analyst picks five sub-hundred rupee shares

Indian stock market benchmark indices ended an eight-week losing streak on Friday, October 9, following a strong rebound led by IT shares and buying in FMCG, auto, and financial sectors. The Nifty rose alongside the Sensex, while Bank Nifty also recovered. IT stocks led the rally after Tata Consultancy Services released its September-quarter results.

Market Pressures And Support

Global oil prices remain a challenge with Brent crude above $100 and WTI above $90 a barrel. Foreign institutional investors recorded net outflows of roughly ₹39,779 crore in October. Domestic institutional investors offset this pressure by buying around ₹40,355 crore in the same period. Sumeet Bagadia, Executive Director at Choice Broking, noted that the Nifty 50 chart pattern points to better short-term sentiment. He stated that the put-call ratio sits at 0.98 and India VIX fell to 14.375. For the Nifty 50, Bagadia placed immediate support at 22,250 to 22,400 and resistance at 22,650 to 22,700. For Bank Nifty, he sees support at 54,800 to 55,000 and resistance at 55,500 to 55,800.

Stock Recommendations

Sumeet Bagadia recommended five stocks priced under ₹100 for trading. The picks are NTPC Green Energy with a buy price of ₹92.60 and target ₹101, Jayaswal Neco Industries at ₹91.40 with target ₹99, Sagility at ₹44 with target ₹48, SBFC Finance at ₹84.40 with target ₹91, and South Indian Bank at ₹47.91 with target ₹52.

Context

Stock markets often react to a mix of global commodity prices and domestic institutional buying that balances foreign investor outflows. Analysts use technical indicators like the Relative Strength Index and volatility indices to track market momentum and find entry points during rebounds.