Raja Venkatraman recommends two stocks for 23 October

Market direction remains completely unclear, with sharp two-way swings leaving investors uncertain about where equities are headed. As we enter the final day of the derivatives expiry, the silver lining is that market sentiment—though severely battered—will simply need time to recover.

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

INDHOTEL (current price: ₹782.30)

Buy above ₹785, stop ₹750, target ₹855 (Multiday)

• Why it’s recommended:Why it’s recommended: The Indian Hotels Company Ltd (INDHOTEL), South Asia’s leading hospitality group and a key Tata Group subsidiary, presents a strong long setup. Since July 2026, the stock has been forming a rounding pattern, using pullbacks toward the Ichimoku cloud and the Tenkan-Sen to build upward momentum. Support from both the Tenkan-Sen and Kijun-Sen indicates a powerful thrust that could drive prices higher. With buying interest rising and favorable momentum from the Relative Strength Index (RSI), a clean rebound looks likely. Go long.
• Key metrics:
  • P/E Ratio : 52.98,
  • 52-week high: ₹776.25
  • Volume: 21.08M
• Technical analysis: Support at ₹188, resistance at ₹398.
• Risk factors: Geopolitical & Travel Shocks, Fixed Lease Commitments ,Seasonality and Margin Volatility.
• Buy : above ₹785.
• Stop loss: ₹750.
• Target price: ₹855 (2 Months)

CRISIL (current price: ₹4,777.20)

Buy above ₹4,780, stop ₹4,550, target ₹5,280 (Multiday)

• Why it’s recommended:CRISIL Ltd (CRISIL), India's premier credit rating agency, presents a compelling long setup despite broader market volatility. The stock's sharp pullback into the Ichimoku cloud region and Tenkan-Sen is serving as a launching pad for upward momentum. Broad-based buying interest emerging at lower levels, coupled with strong support from the Relative Strength Index (RSI), signals a technical rebound. Go long.
• Key metrics:
  • P/E Ratio : 61.52,
  • 52-week high: ₹5060
  • Volume: 161.45K
• Technical analysis: Support at ₹4400, resistance at ₹5500.
• Risk factors: ICE Fleet Erosion, Base Oil Dependency and Rupee Depreciation.
• Buy : above ₹4780.
• Stop loss: ₹4550.
• Target price: ₹5280 (2 Months)

COLPAL (current price: ₹1,678.30)

Sell below ₹1,675, stop ₹1,735, target ₹1,550 (Multiday)

• Why it’s recommended: Colgate-Palmolive (India) Ltd (COLPAL), the market leader in Indian oral care, presents a tactical short setup. After breaking out of a 3-month consolidation phase in June 2026, the stock faced sharp profit-taking that dragged prices down to test key support along the Tenkan-Sen and Kijun-Sen bands. Although a reversal initially gathered momentum, a strong long-bodied negative candle in the previous session—driven by broad market selling—signals severe overhead supply and renewed selling pressure. Go short.
• Key metrics:
  • P/E Ratio : 51.91,
  • 52-week high: ₹1186.55,
  • Volume: 891.56K
• Technical analysis: Support at ₹1600, resistance at ₹1825.
• Risk factors: Core Oral Care Saturation, Grammage Reductions over Price Hikes and Skyrocketing Advertising Costs.
• Sell : below ₹1675.
• Stop loss: ₹1735.
• Target price: ₹1550 (2 Months)

Stock market update

On 22 October, Indian equities slipped as weak global cues kept sentiment subdued. The market opened lower and remained under pressure through most of the session, with the Nifty briefly falling below 22,600 intraday before recovering from its low of 22,554.85 to close at 22,687.65, down 123.70 points or 0.54 percent. The Sensex also ended in the red, losing 460.30 points or 0.62 percent to settle at 73,249.39. Selling was broad-based across sectors, reflecting investor caution amid lingering concerns over global growth and elevated bond yields.

Despite the late recovery, the overall tone remained defensive, with traders preferring to stay light on positions. Technically, the Nifty’s ability to reclaim levels above 22,650 offered some short-term relief, but resistance remains firm near 22,750–22,800, while immediate support lies around 22,550. The session highlighted the ongoing tug-of-war between bargain buying and persistent global headwinds, keeping volatility elevated.

Outlook for trading

Technically, the index continues to trade below its short-term moving averages, reflecting a cautious undertone. The Relative Strength Index (RSI) at 43.98 suggests neutral momentum, neither oversold nor overbought, indicating indecision among traders. The Ichimoku cloud analysis shows price action struggling below the cloud, reinforcing bearish bias, though the late recovery above 22,650 provides some near-term relief.

Options data highlighted defensive positioning, with notable call writing at the 22,700 and 22,800 strikes, capping upside potential. On the put side, open interest was concentrated at 22,600 and 22,500, suggesting traders are hedging against further downside while protecting immediate support zones. Market breadth remained weak, with selling pressure across sectors, though selective bargain buying helped indices recover from intraday lows.

Going forward, resistance is seen at 22,750–22,800, while support lies at 22,550–22,500. A sustained move above 22,800 could open room for a technical rebound toward 23,000, but failure to hold 22,550 may invite renewed weakness. Overall, the setup reflects a tug-of-war between cautious sellers and opportunistic buyers, keeping volatility elevated.

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.