Improved geopolitical conditions and a decrease in international concern about U.S. tariffs contributed to the Nifty50’s more than 6% rise in October.
During the most recent correction phase, there was a noteworthy rotation of sectors: selling pressure was observed in IT stocks and pharmaceutical stocks, while profit booking was observed in banking and auto. At the moment, banking, IT, white goods, and pharmaceuticals are once again in the spotlight. Stocks like Laurus Labs and Amber Enterprises are notable for offering traders and investors favorable risk-reward setups based on their technical charts.
Amber Enterprises: Poised to Break All-Time High?
Amber Enterprises, which began at ₹3,000 in early 2024, had 173% gains in just nine months, hitting its maximum point at ₹8,180.
Between January and June 2025, the stock saw a 36% correction after moving in a negative trend. After emerging from consolidation since September, it is now forming an ascending triangle pattern, a classic bullish continuation indication.
Currently, the stock trades above its 20-day moving average, and the 14-period RSI remains in bullish territory, both indicators pointing to potential upside.
Key Amber Enterprise’s Potential Signs of Bullish Pattern
- Bullish Ascending Triangle patterns: Stock has given breakout & trading above its previous all-time high.
- 20 Day Moving Average: Stock price is trading above its short term 20DMA, signalling the onset of an uptrend.
- Breakout with Volume: As per current chart setup price is rising with rise in volume which indicates bullish sentiment.
- RSI & Price Direction: 14 period RSI is above 50 zone, showing that the stock is in strong bullish momentum.
Laurus Lab : Bullish Continue Breakout
Between January and February of 2024, Laurus Labs rose from ₹360 to ₹650 before going into a consolidation phase and making a 20% correction.
A possible breakout has been indicated by the stock’s recent formation of an ascending triangle close to its prior high. The price is above its 20-day moving average, an important resistance levels, while the RSI is still above 60, confirming the positive trend. These elements imply that Laurus Labs may be able to continue its rising trajectory in the near future.
Laurus Labs: Gearing Up for a Triangle Breakout?
- Ascending triangle breakouts: Price is on the verge of breakout from ascending triangle pattern.
- Volume Surge Confirming the Breakout: The fall in price coincided with a decline in volume and an Increase in price has come with a rise in volume, which shows strong investor interest.
- 20 Day Moving Average: Stock price is trading above its 20 DMA. That means the stock is on an upward trend.
- RSI & Price Direction: 14 period RSI is above 60 zone and showing that the stock is in strong bullish momentum.
Final Take
In comparison to its international counterparts, the Indian market is still technically and fundamentally robust. Choosing stocks becomes crucial when indices are trading close to all-time highs. Breakouts, high RSI readings, and increasing volumes all support the solid technical setups seen in Amber Enterprises and Laurus Labs. For possible short-term gains, both counters are worthy of being on your radar.
Kiran Jani has over 15 years of experience as a trader and technical analyst in India’s financial markets. He is a well-known face on the business channels as Market Experts and has worked with Asit C Mehta, Kotak Commodities, and Axis Securities. Presently, he is Head of the Technical and Derivative Research Desk at Jainam Broking Limited.
Note: The purpose of this article is only to share interesting charts, data points and thought-provoking opinions. It is NOT a recommendation. If you wish to consider an investment, you are strongly advised to consult your advisor. This article is strictly for educative purposes only.
Disclosure: The writer and his dependents do not hold the stocks discussed here. However, clients of Jainam Broking Limited may or may not own these securities.
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