Trade Spotlight: How should you trade Federal Bank, NALCO, Eternal, KEI Industries, Karur Vysya Bank, and others on October 09?

Top Buy/Sell Ideas for October 09

Equity benchmarks saw minor selling pressure after four days of gains, with the Nifty 50 falling 0.25 percent on October 8. The market breadth remained in favour of bears, with 1,687 shares declining compared to 1,122 advancing shares on the NSE. The market is expected to consolidate further until a decisive breakout above the previous day's high occurs. Below are some short-term trading ideas to consider:

Nilesh Jain, Head – Technical and Derivatives Research Analyst (Equity Research) at Centrum Broking

KEI Industries | CMP: Rs 4,254.9

KEI Industries has been maintaining a strong uptrend, consistently forming higher highs and higher lows while moving within a well-defined rising channel on the daily chart. Its position above all key short-term and long-term moving averages reflects robust and sustained bullish momentum.

Adding to the strength, the MACD has triggered a bullish crossover above the zero line, indicating a pickup in buying interest. With this solid technical setup, the stock appears poised to extend its rally toward the Rs 4,650 level. On the downside, immediate support is seen around Rs 3,995, which should act as a cushion during any minor pullbacks.

Strategy: Buy

Target: Rs 4,650

Stop-Loss: Rs 3,995

Oberoi Realty | CMP: Rs 1,577.5

Oberoi Realty is facing consistent selling pressure on every pullback and is trading well below all key moving averages, indicating a weak technical structure. It is also on the verge of breaking down from a rising trendline that connects significant swing lows, which could further accelerate the downside.

On the derivatives front, the build-up of short positions reinforces the prevailing bearish sentiment. A decisive break below the Rs 1,560 level could trigger further downside toward Rs 1,480. On the upside, immediate resistance is placed near the 50-day moving average at Rs 1,630, which is likely to cap any short-term recovery.

Strategy: Sell

Target: Rs 1,480

Stop-Loss: Rs 1,630

Rupak De, Senior Technical Analyst at LKP Securities

Bharat Petroleum Corporation | CMP: Rs 345.1

BPCL has moved higher after consolidating for a few days, indicating renewed bullish momentum. It continues to sustain above the critical near-term moving average (21 EMA), confirming an uptrend. The RSI has also broken out of consolidation with a bullish crossover. Based on this technical setup, the uptrend is expected to continue in the short term. On the upside, the stock may move toward Rs 360, while immediate support is placed at Rs 335.

Strategy: Buy

Target: Rs 360

Stop-Loss: Rs 335

Karur Vysya Bank | CMP: Rs 225.11

Karur Vysya Bank has moved above its recent swing high on the daily timeframe, indicating rising interest in the counter. Moreover, it has been sustaining above the critical 21 EMA. The overall chart structure appears conducive to a sharp rally in the short term. On the higher side, the stock may move toward Rs 238, while support is placed at Rs 220.

Strategy: Buy

Target: Rs 238

Stop-Loss: Rs 220

Aurobindo Pharma | CMP: Rs 1,070.8

Aurobindo Pharma has declined from its recent consolidation, indicating an increase in bearish sentiment among traders. Moreover, the trend appears weak, with the price slipping below the 21 EMA on the daily timeframe. The RSI is in a bearish crossover and trending lower. On the downside, the price may fall toward Rs 1,030, while on the upside, resistance is placed at Rs 1,100.

Strategy: Sell

Target: Rs 1,030

Stop-Loss: Rs 1,100

Sudeep Shah, Head - Technical Research and Derivatives at SBI Securities

Federal Bank | CMP: Rs 202.61

Federal Bank confirmed a double-bottom breakout above the Rs 200 neckline with strong volumes, indicating a potential trend reversal. The stock now trades above all key EMAs (20, 50, 100, 200), highlighting short- to medium-term strength. Momentum indicators support the bullish setup: RSI above 60 shows renewed buying interest, the MACD’s positive crossover signals momentum buildup, and the ADX reflects a bullish DI crossover.

With private banks outperforming, Federal Bank appears poised for further gains. We suggest accumulating in the Rs 203–200 range.

Strategy: Buy

Target: Rs 220

Stop-Loss: Rs 195

National Aluminium Company | CMP: Rs 223.62

NALCO is exhibiting strong bullish momentum, supported by robust technical indicators. The stock remains firmly above key moving averages, reflecting short-term strength, while rising volumes over the past six sessions indicate growing buying interest. A bullish MACD crossover suggests continued upward momentum, and prices trending near the upper Bollinger Band confirm sustained buying pressure.

With the metal sector outperforming, sectoral tailwinds further enhance its bullish outlook. Overall, the combination of volume, indicators, and sector strength supports continued gains. We recommend accumulating in the Rs 224–221 zone.

Strategy: Buy

Target: Rs 240

Stop-Loss: Rs 215

Eternal | CMP: Rs 341.65

Eternal exhibits a strong bullish setup with multiple technical confirmations. The 20-day EMA has consistently acted as dynamic support, with the stock rebounding from it to mark new upswings, reinforcing buyer conviction. The chart structure shows higher highs and higher lows, confirming a firm uptrend. A recent bullish MACD crossover signals renewed momentum, while the RSI’s steady rise from 46 to 64 over eight sessions reflects strengthening buying pressure.

Collectively, these indicators point to sustained positivity. We recommend accumulating in the Rs 342–338 zone.

Strategy: Buy

Target: Rs 370

Stop-Loss: Rs 329