Stock recommendations for 12 November from MarketSmith India

Detailed summary

MarketSmith India reveals its top stock recommendations for today, 12 November. Get expert insights into the best-performing stocks to guide your investment decisions.

Stock market recap: Indian equities closed higher on Wednesday, with the Sensex gaining 772.75 points to 81,879.40 and the Nifty 50 rising 210.40 points to 25,255.05, as markets reopened after the Diwali-Balipratipada holiday.

Sustained foreign institutional buying was a key driver, with inflows totalling about ₹53,170 crore over six trading sessions in November. Softer crude oil prices eased concerns over inflation, input costs and pressure on the rupee, which strengthened to 93.69 against the US dollar. Better-than-expected September-quarter earnings, with Nifty 50 companies posting nearly 24% profit growth, further lifted sentiment.

PSU banks, auto, private bank and FMCG stocks led the gains, with M&M, IndiGo and Trent among the top performers. However, higher-than-expected US inflation data and hawkish remarks from the Federal Reserve pushed global bond yields higher, fuelling expectations of a rate hike in December.

Selling in IT, pharma and realty stocks added to the pressure, prompting the benchmarks to surrender much of their early gains and limiting the day's advance.

Bulls remained in control as the Nifty 50 opened with a gap-up after Tuesday's holiday, retreated to test intraday lows and then recovered to close firmly higher. The index opened at 25,337.80, touched a high of 25,424.35 and a low of 25,095.35, before settling at 25,255.05, up 210.40 points or 0.84%. Although it closed below its opening level, the long lower shadow signals buying interest at lower levels. The session also left an unfilled rising gap above 25,045. The close extends the breakout above August's swing high near 24,700.

Among Nifty 50 constituents, M&M (+5.30%), IndiGo (+4.33%) and Trent (+3.32%) were the top gainers. Adani Ports (-1.84%), ICICI Bank (-1.10%) and Tech Mahindra (-0.91%) led the losses, though overall market breadth remained positive.

Momentum indicators remain firmly bullish, although increasingly stretched.

On the downside, 25,095, the day's low, is the first support…

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