Nifty PSE at 52-wk high, eyes new peak; Charts hint 10% upside in 3 stocks

PSE stocks have rallied up to 19% thus far in CY26, and up to 45% so far in FY26. Anand James of Geojit Investments expects BPCL, IOC and PFC to gain another 10% from current levels.

The Nifty Public Sector Enterprises (PSE) index, a thematic index that tracks the performance of 20 top-listed Central or State Government-owned companies has outperformed the NSE Nifty 50 index in the calendar year and the financial year thus far.  The Nifty PSE index has gained 6.6. per cent thus far in 2026 and 12.4 per cent in FY26. In comparison, the Nifty 50 has slipped 2.5 per cent so far this calendar year, and logged an 8.3 per cent gain for the fiscal year ending March 2026.  Among PSE stocks, Power Finance Corporation (PFC), NTPC, Power Grid Corporation and Oil & Natural Gas Corporation (ONGC) are the top gainers - up in the range of 15 - 19 per cent each so far this year.  In FY26, thus far, Bharat Electronics, Indian Oil Corporation (IOC), Bharat Petroleum Corporation (BPCL), Oil India, Hindustan Petroleum Corporation (HPCL), and Bharat Heavy Electricals (BHEL) and NMDC have gained around 19 - 45 per cent, shows ACE Equity data.  Analysts at ICICI Securities attribute the outperformance in PSE shares to improved profitability, balance sheet strength, business growth, market share, and valuations. Much of this has been driven by sectoral tailwinds in corporate asset quality, regulatory and government reforms, and capital infusion. READ MORE  At current levels, the Nifty PSE index now quotes at its 52-week high around 10,500 levels. The index had hit a summit at 11,815 in August 2024.  Can the PSE index rally to a new high? Here's what Anand James, Chief Market Strategist, Geojit Investments Limited has to say. 

Nifty PSE Index

Current Level: 10,500 

 

 

  The Nifty PSE Index is displaying a constructive setup on both weekly and daily charts. On the weekly timeframe, the index has transitioned from the 2024-25 corrective phase into a steady recovery, forming a series of higher lows through 2025-26, says Anand James.  The analyst highlights that the index is now pressing against a strong resistance zone at 10,450 - 10,550, creating an ascending triangle, often considered a bullish continuation pattern.  "A decisive weekly close above 10,550 - 10,600 would confirm a breakout with a pattern target near 11,300, placing the index near new all-time high territory," explains James.  In case of a decline, the analyst from Geojit Investments expects the Nifty PSE to seek support around 10,350 - 10,380 or 10,200 - 10,250 zone. James cautions that a fall below 10,050 would weaken the bullish case.  Among individual stocks, the analyst - Anand James expects up to 10 per cent upside in PFC, BPCL and IOC shares. 

PFC

Current Market Price: ₹421 

 

  PFC continues to trade in a strong uptrend, supported by sustained higher-highs and higher-lows since the mid-December turnaround.  "The stock has consistently held above the Ichimoku cloud, reinforcing its firmly bullish structure. Recent price action shows a breakout attempt above the ₹420 - ₹425 resistance zone, where multiple pivot levels converge, and the move also coincides with a break above the declining trend line resistance," explains James.  On the upside, the analyst believes that a sustained close above ₹425 could open the path toward ₹435 - ₹440, followed by ₹458 levels; whereas, support lies at ₹404 - ₹400 region. 

BPCL

Current Market Price: ₹382 

 

  BPCL is attempting to stabilise after a corrective phase and is currently trading within a falling wedge, a pattern that often precedes bullish reversals, highlights James.  "The stock has bounced from the ₹360 - ₹365 support zone and broken above the upper limit of the wedge, indicating improving short-term momentum. Price action remains above the Ichimoku cloud, which suggests that the broader trend continues to hold a positive bias despite recent consolidation," the analyst explains.  James notes that a clear breakout above ₹385 - ₹390 opens the path toward ₹400, followed by ₹410 - ₹420. In case of a dip, he sees immediate support for the stock at ₹370 - ₹365, followed by ₹360 levels. 

IOC

Current Market Price: ₹184 

 

  "IOC is showing strong bullish momentum as the stock breaks out of a multi-month consolidation phase. Price has moved firmly above the Ichimoku cloud, reinforcing a positive trend structure," explains James.  The recent surge has pushed the stock above the ₹180 zone, which acted as a significant resistance level last year. Sustaining above this barrier signals renewed trend strength and opens the way for further upside, highlights the analyst.  If the IOC stock sustains above ₹180, the next potential resistance comes at ₹190 - ₹195, followed by ₹200 on extension. On the downside, initial support lies around ₹176, with stronger support near ₹170, says James.  Disclaimer: The views expressed by the brokerage/ analyst in this article are their own and not those of the website or its management. Business Standard advises users to check with certified experts before taking any investment decisions.