Top 3 Stocks to Buy This Monday: SAIL, Reliance, Tata Elxsi

According to Ganesh Dongre, Senior Technical Analyst at Anand Rathi, investors may consider buying three promising stocks — Steel Authority of India (SAIL), Reliance Industries (RIL), and Tata Elxsi — as the Indian stock market continues its upward momentum heading into the new week.

Market outlook: Nifty extends gains amid global optimism

The Nifty 50 index ended last week on a strong note, advancing 1.36% to close at 25,709 points, supported by positive global cues and optimism surrounding the Trump administration’s plans for further tariff discussions with Prime Minister Modi.

Broader markets also saw healthy participation, with key sectoral indices rising between 1–3%. Among them, the Realty sector led the rally with a robust 2.5% gain, while FMCG, telecom, and financials added around 2% each, reflecting broad-based market strength.

Technical analysis: Nifty breaks above key resistance at 25,600

From a technical standpoint, Nifty successfully broke above the crucial resistance level of 25,600, sustaining comfortably above this psychological mark for the first time in months and now approaching the next resistance zone near 26,000 points.

Earlier, the index had established a solid base around 24,300–24,400, which coincided with the 200-day Exponential Moving Average (EMA) and the 38.2% Fibonacci retracement level, reinforcing a strong bullish structure.

Currently, immediate support is placed at 25,400–25,600, while resistance levels are seen at 26,000 and 26,500.

Week ahead: Breakout above 26,000 may trigger next upside leg

According to Dongre, Nifty is expected to trade within the 25,400–26,000 range in the coming week. A decisive breakout above 26,000 could potentially open the next leg of the rally toward 26,500.

Derivatives data indicate the highest Call open interest at the 26,000 strike, followed by 26,500, signaling key resistance zones. On the Put side, the highest open interest at 25,000–25,500 highlights strong support areas for the index.

Source: LiveMint – “Buy or Sell: Ganesh Dongre of Anand Rathi recommends three stocks to buy on Monday, 20 October 2025” (Published October 19–20, 2025).