Raja Venkatraman recommends three stocks for 2 November

Resistances were overcome as the bullish enthusiasm continues to face lot of hesitation and has failed to steer clear of the trend and forge ahead. However, the sustained bullish action despite some periodic shakeup has instilled greater confidence in the market.

The Indian equity markets witnessed a highly volatile yet resilient week, with benchmark indices recovering strongly after facing intermittent bouts of selling pressure. While concerns over elevated crude oil prices, global uncertainties, and mixed earnings kept traders on edge, the latter part of the week saw a notable resurgence in buying interest that enabled the Nifty to reclaim the psychologically important 23,000 mark.

The Nifty 50 closed at 23,053.10, while the Sensex settled at 74,459.53, ending the week on a firm footing.

Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman:

ATHERENERG (Cmp 1756)

ATHERENERG: Buy above ₹1760, stop ₹1650 target ₹1995 (Multiday)

• Why it’s recommended: Ather Energy Limited is a pioneer and leading electric two-wheeler (E2W) manufacturer in India. Post a volatile phase from Augu 2026 the stock is now witnessing a revival from deep oversold levels. With a positive newsflow about its acquisition we can see the strong thrust in the momentum. As Tenkan Sen and Kijun Sen acts as a strong set of supports with support from Relative Strength Index(RSI) could help the prices rebound. Go long.
• Key metrics:
  • P/E Ratio : 17.55,
  • 52-week high: ₹813.40
  • Volume: 488.81K
• Technical analysis: Support at ₹1475, resistance at ₹2100.
• Risk factors: Risks inherent to global maritime trade, asset cycles, and geopolitical tensions.
• Buy : above ₹1760.
• Stop loss: ₹1650.
• Target price: ₹1995 (2 Months)

PPLPHARMA (Cmp 238.91)

PPLPHARMA: Buy above ₹240, stop ₹229 target ₹265 (Multiday)

SHYAMMETL (Cmp 1162.90)

SHYAMMETL: Buy above ₹1165, stop ₹1115 target ₹1285 (Multiday)

• Why it’s recommended: Shyam Metalics and Energy Limited is a leading, debt-free diversified metal conglomerate in India, the company manufactures long steel products, ferro alloys, and aluminium foils, while generating a significant portion of its own power. The formation of a long body candle after a period of consolidation giving a breakout augurs well for the prices in the counter over the next few days. Also, newsflow of some stake sale of Saudi Business has generated some strong buying at lower levels. Go Long.
• Key metrics:
  • P/E: 62.04,
  • 52-week high: ₹1014.65,
  • Volume: 174.67K
• Technical analysis: Support at ₹900, resistance at ₹1325.
• Risk factors: Input cost pressures, regulatory uncertainties, and cyclical demand shifts.
• Buy : above ₹1165.
• Stop loss: ₹1115.
• Target price: ₹1285 (2 Months)

Stock market recap

A closer look beneath the headline numbers revealed a divergent market. The recovery was largely driven by heavyweight IT names, with stocks such as Infosys and Wipro attracting strong institutional buying.

Pharma stocks also displayed relative strength. However, banking, auto and broader market segments failed to participate meaningfully in the rally. The Bank Nifty underperformed and ended lower on Friday, while midcap and smallcap indices continued to witness profit booking, highlighting a lack of broad-based participation.

Outlook for trading

While the benchmark indices managed to finish the week in positive territory, the price action was more defensive than outright bullish. The leadership remained concentrated in a handful of large-cap stocks rather than the broader market. The underperformance of midcaps, smallcaps and banking stocks indicates that investors are still selectively deploying capital rather than embracing a broad risk-on approach. Rising volatility and continued uncertainty surrounding crude oil prices also suggest that market participants remain cautious.

Technically, the Nifty's ability to sustain above 23,000 has improved short-term sentiment and could open the door for a move towards 23,300-23,500. However, a meaningful uptrend will require participation from financials and broader market segments. Failure to attract wider buying interest may result in the index reverting to a range-bound phase despite the recent recovery.

From a derivatives perspective, the week's recovery appeared to be aided by significant short covering after bears failed to sustain the Nifty below the 22,800 zone. Option activity suggested aggressive put writing in the 22,800-23,000 region, indicating traders viewed this area as a strong support base. On the upside, fresh call additions around 23,100-23,300 may continue to act as an immediate hurdle in the coming 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.