These 2 defence-related microcap stocks can rally up to 18%, suggest charts

Paras Defence, Midhani were seen trading above the super trend line hurdle on the daily chart, thus implying a likely positive trend going ahead.

Paras Defence and Space Technologies and Mishra Dhatu Nigam (Midhani) have rallied 10 per cent and 12 per cent thus far in the month of September 2025. In comparison, the Nifty 50 has gained 2.7 per cent, and the Nifty Microcap index has moved 0.6 per cent higher in the same period.  Further, in doing so, these 2 defence-related microcap stocks are seen trading above the near-term trend line resistance; thus signalling a potential favourable bias going ahead. 

2 microcap defence stocks looking strong on charts

  Here's a detailed technical outlook on these 2 defence-related microcap stocks. 

Paras Defence and Space Technologies

Current Price: ₹713  Likely Target: ₹840  Upside Potential: 17.8%  Support: ₹669; ₹637  Resistance: ₹721; ₹740; ₹785  Paras Defence stock is seen trading above its super trend line hurdle for the first-time since July 21, 2025. For now, the stock seems testing resistance around its 100-Day Moving Average (100-DMA), which stands at ₹721; above which the next key hurdle exists at ₹740. 

 

  Break and sustained trade above these two hurdles, can trigger a potential rally towards ₹840 levels, with some resistance likely around ₹785 levels. On the downside, the 20-DMA at ₹669 is likely to act as the first line of support, followed by ₹637.

  Mishra Dhatu Nigam (Midhani)

Current Price: ₹403  Likely Target: ₹460  Upside Potential: 14.1%  Support: ₹397; ₹385; ₹369  Resistance: ₹405; ₹410; ₹445  Midhani is seen trading above its super trend line resistance for the second straight trading session, thus indicating that the near-term bias at the counter is likely to remain positive as long as the stock holds above ₹369 levels. 

 

  Interim support for the stock can be anticipated around the 100-DMA, which stands at ₹397 followed by the 20-DMA at ₹385. On the upside, the stock can potentially rally to ₹460 levels. At present, it seems to be countering resistance around the recent highs, in ₹405 - ₹410 zone; above which the next key hurdle stands at ₹445.