Tata Steel, SAIL, Jindal rally up to 10% in Sept; is there more steam left?

Technical charts suggests that steel stocks are favourably placed on the charts, and could see a multi-month rally with a potential upside up to 24 per cent from here.

Shares of steel companies have rallied up to 10 per cent thus far in the month of September amid buzz that the Indian government is preparing a national mission to promote sustainable steel production. Reports suggesting that China may cut steel production in 2025 also boosted the sentiment.  According to reports, the government is preparing a national mission with a proposed outlay of ₹5,000 crore to promote sustainable steel production. The scheme will cover both primary and secondary producers, and is likely to provide financial support measures such as concessional loans and risk guarantees.  Meanwhile, reports indicated that steel production cuts are planned in China and this should help balance demand-supply, thus reducing the chance of cheap Chinese exports. READ MORE 

Outlook on top 5 steel stocks

Steel major - Tata Steel has led the way on the bourses with a 10 per cent rally. Jindal Steel and Steel Authority of India (SAIL) have surged up to 9 per cent each; while NMDC and JSW Steel gained around 8 per cent each.  In comparison, the Nifty Metal index has rallied 6 per cent, and the NSE benchmark Nifty 50 has advanced 2 per cent so far in September 2025.  Given this background, how much more can the steel stocks rally from here? Here's what technical charts suggest. 

Tata Steel

Current Price: ₹169  Likely Target: ₹210  Upside Potential: 24.3%  Support: ₹166; ₹159  Resistance: ₹177; ₹189; ₹202  Tata Steel stock seems to be gearing up for a multi-month rally, post the consolidation around its 20-Month Moving Average (20-MMA) in the last 9 months. The daily chart shows that the near-term bias at the counter is likely to remain favourable as long as the stock holds above ₹159; with immediate support visible around ₹166 levels. 

 

 

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  On the upside, the stock can potentially attempt a rally towards ₹210 levels in the coming months. On its way up, Tata Steel may face intermediate resistance around ₹177, ₹189 and ₹202 levels. 

SAIL

Current Price: ₹130  Likely Target: ₹152  Upside Potential: 16.9%  Support: ₹126.60; ₹124; ₹121.70  Resistance: ₹136.70; ₹144.40  SAIL share is likely to trade with a positive bias as long as the stock sustains above ₹121.70; with near support likely around ₹126.60 and ₹124 levels. On the upside, the stock can potentially surge to ₹152 levels, with interim resistance likely around ₹136.70 and ₹144.40 levels. 

 

 

Jindal Steel

Current Price: ₹1,033  Likely Target: ₹1,182  Upside Potential: 14.4%  Support: ₹1,023; ₹1,000; ₹972  Resistance: ₹1,085; ₹1,133  Jindal Steel stock is likely to trade with a positive bias as long as the stock quotes above ₹972, with interim support for the stock visible around ₹1,023 and ₹1,000-mark. On the upside, the stock can spurt to ₹1,182 levels, with interim resistance likely around ₹1,085 and ₹1,133 levels. 

 

 

NMDC

Current Price: ₹74.87  Likely Target: ₹91  Upside Potential: 21.5%  Support: ₹72.80; ₹71.30; ₹70  Resistance: ₹76.40; ₹79.85; ₹84.60  NMDC stock is seen attempting a breakout on the weekly scale; a close above ₹74.50 shall confirm the same. On the upside, the stock can soar to ₹91 levels; with interim resistance likely around ₹76.40, ₹79.85 and ₹84.60 levels. Support for the stock can be anticipated around ₹72.80 and ₹71.30 levels; while the near-term bias is likely to remain favourable above ₹70-mark. 

JSW Steel

Current Price: ₹1,106  Likely Target: ₹1,320  Upside Potential: 19.4%  Support: ₹1,080; ₹1,065; ₹1,050  Resistance: ₹1,116; ₹1,136; ₹1,205; ₹1,272  JSW Steel stock is seen testing resistance around the higher-end of the Bollinger Bands on the monthly scale at ₹1,116 levels, above which near resistance exists around ₹1,136. Break and sustained trade above these levels, shall open the doors for a likely rally towards ₹1,320 levels. 

 

  Interim resistance for the stock can be anticipated around ₹1,205 and ₹1,272 levels. On the other hand, the short-term bias at the counter is likely to remain positive as long as the stock trades above ₹1,050 levels, with interim support visible around ₹1,080 and ₹1,065 levels.