Market Outlook: Consolidation Before the Next Leg Up
As we enter the final week of October 2025, the Indian equity market remains in a healthy consolidation phase after hitting record highs earlier this month. The Nifty 50 continues to trade above 25,700, while the Bank Nifty has maintained strength near 57,700 levels, despite intermittent profit booking.
The broader market sentiment remains constructive, supported by stable corporate earnings, a firm rupee, and declining crude oil prices. However, traders should stay selective as momentum oscillators like RSI and Stochastic RSI are showing mild cooling signals on daily charts.
For swing traders, this environment presents opportunities to ride short-term price moves within well-defined risk parameters. Finversify’s technical screeners have identified the best swing trading stocks for October 27–31, 2025, based on momentum strength, relative volume, and favorable chart structures.
Selection Criteria: How Finversify Filters Swing Trading Stocks
To shortlist the top candidates for this week’s swing trades, our research team applied a multi-layer technical and quantitative approach, considering:
- Volume Surge: Stocks with volume exceeding 1.5x their 10-day average.
- Momentum Strength: RSI between 55–70 indicating controlled bullish momentum.
- Price Action: Strong bullish candles closing above key moving averages (20EMA, 50EMA).
- Volatility Control: ATR within manageable levels for tight stop-loss placement.
- Market Breadth: Positive price action across large-cap and mid-cap segments.
This led to 10 high-probability setups for the week.
Top Swing Trading Stocks This Week (October 27–31, 2025)
| Stock Name | LTP (₹) | Change % | Market Cap (₹ Cr) | 1M Return | 3M Return |
|---|---|---|---|---|---|
| Hindalco Industries | 824.45 | +5.03% | 1,85,273 | 10.53% | 18.56% |
| Cholamandalam Investment | 1,733.60 | +2.90% | 1,45,865 | 6.34% | 11.74% |
| Shriram Finance | 715.45 | +2.91% | 1,34,577 | 13.78% | 9.39% |
| Cummins India | 4,183.20 | +2.68% | 1,15,958 | 4.87% | 17.38% |
| Indian Bank | 820.05 | -0.74% | 1,10,458 | 15.79% | 25.75% |
| MRF | 1,60,190 | -0.92% | 67,939 | 2.73% | 6.85% |
| Motilal Oswal Financial Services | 1,036.20 | +1.57% | 62,215 | 9.80% | 14.51% |
| Federal Bank | 227.40 | -0.02% | 55,946 | 16.54% | 6.86% |
| Allied Blenders & Distillers | 618.35 | -1.14% | 17,296 | 15.51% | 31.37% |
| Sammaan Capital | 188.25 | +7.50% | 15,594 | 39.42% | 40.19% |
| Jain Resource Recycling | 400.22 | +8.40% | 13,811 | 25.83% | 25.83% |
Hindalco Industries (₹824.45)
Sector: Metals & Mining | Market Cap: ₹1.85 Lakh Cr
Technical View:
Hindalco has broken out from a two-week consolidation pattern with a strong 5% surge in volume. The price has reclaimed its 20-day EMA, signaling renewed buying interest.
Indicators: RSI at 68 and MACD bullish crossover support the uptrend.
Swing View:
- Buy Range: ₹815–825
- Target: ₹855–875
- Stop-Loss: ₹798
“Hindalco’s rally is backed by strong base metal prices and rising global aluminum demand.” — Finversify Research
Cholamandalam Investment (₹1,733.60)
Sector: NBFC | Market Cap: ₹1.45 Lakh Cr
Technical View:
After holding firm above ₹1,700, Chola Finance is showing a steady trend continuation pattern. The 20-day EMA at ₹1,685 is acting as strong support.
Momentum Indicators: RSI at 62 and Stochastic crossover confirm continuation bias.
Swing View:
- Buy Range: ₹1,720–1,735
- Target: ₹1,770–1,790
- Stop-Loss: ₹1,690
NBFCs continue to outperform as credit growth and disbursements remain strong in Q2 earnings.
Shriram Finance (₹715.45)
Sector: Financial Services | Market Cap: ₹1.34 Lakh Cr
Technical View:
Shriram Finance formed a bullish engulfing candle on the daily chart, indicating reversal from short-term support near ₹700.
Volume Surge: Over 60 million shares traded — nearly double its 10-day average.
Swing View:
- Buy Range: ₹710–715
- Target: ₹740–755
- Stop-Loss: ₹698
Strong rural demand and improving credit recovery trends make Shriram Finance a steady swing pick.
Cummins India (₹4,183.20)
Sector: Capital Goods | Market Cap: ₹1.15 Lakh Cr
Technical View:
Cummins India is forming a continuation flag pattern near its all-time high. The 50-day EMA at ₹3,980 is a key support level.
Momentum: RSI at 65; MACD histogram positive.
Swing View:
- Buy Range: ₹4,150–4,180
- Target: ₹4,300–4,380
- Stop-Loss: ₹4,090
Industrial stocks like Cummins are likely to benefit from capital expenditure cycles and infrastructure demand.
Indian Bank (₹820.05)
Sector: PSU Bank | Market Cap: ₹1.10 Lakh Cr
Technical View:
Indian Bank is witnessing short-term profit booking after strong 1-month gains of 15.79%. The overall trend remains positive above ₹800.
Swing View:
- Buy Range: ₹810–820
- Target: ₹855–865
- Stop-Loss: ₹795
PSU banks continue to lead the market recovery on improved NPA ratios and robust credit growth.
MRF (₹1,60,190)
Sector: Auto | Market Cap: ₹67,939 Cr
Technical View:
MRF remains in a sideways consolidation between ₹1,55,000 and ₹1,63,000. A breakout above ₹1,62,500 may attract momentum buying.
Swing View:
- Buy Range: ₹1,59,500–1,60,500
- Target: ₹1,63,000–1,65,000
- Stop-Loss: ₹1,57,800
Tyre demand and falling rubber prices make MRF a potential medium-term outperformer.
Motilal Oswal Financial Services (₹1,036.20)
Sector: Brokerage | Market Cap: ₹62,215 Cr
Technical View:
MOFS has given a clean breakout above ₹1,020 with a rising volume structure and positive RSI divergence.
Swing View:
- Buy Range: ₹1,030–1,040
- Target: ₹1,070–1,085
- Stop-Loss: ₹1,010
With strong inflows into mutual funds and growing demat accounts, brokerage firms remain on solid footing.
Federal Bank (₹227.40)
Sector: Banking | Market Cap: ₹55,946 Cr
Technical View:
Federal Bank is consolidating near the ₹225 zone. The 1-month return of 16.5% suggests momentum remains strong despite minor pullbacks.
Swing View:
- Buy Range: ₹226–228
- Target: ₹240–245
- Stop-Loss: ₹220
Stable asset quality and retail loan growth keep Federal Bank among the top swing trading candidates.
Allied Blenders & Distillers (₹618.35)
Sector: Consumer | Market Cap: ₹17,296 Cr
Technical View:
ABD has been showing strong follow-up buying after a 30% three-month rally. The trend remains bullish as long as it holds ₹600.
Swing View:
- Buy Range: ₹610–620
- Target: ₹650–665
- Stop-Loss: ₹595
Premium liquor category expansion and festive demand could boost Q4 performance.
Sammaan Capital (₹188.25)
Sector: Financial Services | Market Cap: ₹15,594 Cr
Technical View:
Sammaan Capital has surged over 7.5% in a day and delivered 40% returns in three months. RSI is in overbought territory but trend remains up.
Swing View:
- Buy Range: ₹186–190
- Target: ₹205–215
- Stop-Loss: ₹178
The stock’s strong volume breakout suggests institutional accumulation; traders should trail stops to protect profits.
Bonus Pick: Jain Resource Recycling (₹400.22)
Sector: Recycling | Market Cap: ₹13,811 Cr
Technical View:
Jain Resource Recycling has broken out from a consolidation base with 8.4% daily gain and a strong 25% monthly rally.
Swing View:
- Buy Range: ₹395–405
- Target: ₹430–445
- Stop-Loss: ₹380
Circular economy-focused businesses like Jain Recycling are gaining investor traction amid sustainability themes.
Market Sentiment Summary
- Sector Strength: Metals, PSU banks, and finance stocks showing rotational leadership.
- Breadth: 65% of Nifty 500 stocks are trading above their 20-day EMA.
- Volatility Index (India VIX): Mildly elevated at 13.5 — suggesting short-term volatility but no panic.
Finversify View
According to Dhwani Patel, Head of Research at Finversify:
“Swing traders should maintain a stock-specific approach this week. Momentum remains intact, but rotation is happening between large caps and midcaps. Focus on high-volume breakouts with defined stop-losses.”
She adds that traders must avoid chasing overextended rallies and instead focus on stocks with fresh volume confirmations and tight consolidation breakouts.
Conclusion: Swing Smart, Trade Disciplined
The week of October 27–31, 2025, offers multiple swing opportunities across sectors — from Hindalco’s metal strength to Cholamandalam’s NBFC stability.
Swing trading success this week will depend on disciplined execution, dynamic position sizing, and adherence to stop-loss levels.
Keep tracking Finversify’s daily market insights for live setups, key index levels, and real-time updates on market breadth and sector rotation.
Disclosure & Disclaimer: dhwani patel (SEBI Registration No. INH200008608) is a SEBI registered research analyst. The views expressed are educational in nature and not investment recommendations. Trading in financial markets involves risk. Please conduct your own research before making any investment or trading decision.
