With the benchmark indices hitting fresh all-time highs on Friday—the second day of trading in 2026—, the broader market is abuzz with stock-specific action. In last week’s expiry of the December series, traders carried forward some bullish bets of select stock futures to the January series, while cutting their bearish positions in some. A look at some of the stocks that are poised to be in the thick of action.
Change in Open Interest: 12.41% Change in Price: 2.48%
Rationale: After breaking out of the congestion zone in August 2025, the stock traded in a triangle formation. “It registered a fresh breakout on Friday from the said triangle formation with a noticeable rise in volumes, and the same is well supported by over 12% of long addition,” said Vipin Kumar, AVP - derivatives and technical research at Globe Capital Market. Kumar said the stock could move towards Rs 1,450 in the near term as long as it holds above the Rs 1,260 spot level. He recommends buying January futures in the Rs 1,300–1,320 range.
Tata Power Company Change in Open Interest: -0.84% Change in Price: 2.74%
Rationale: Akshay Bhagwat, SVP - derivatives research at JM Financial Services, suggests traders buy Tata Power’s January futures at Rs 390–395, with a target of Rs 425–437 and a stop loss at Rs 377.
“The stock prices have been confined in a range of Rs 375–410 for the last eight months. Prices have surged on volumes and open interest support from the Rs 373 base with a positive breakout at the Rs 384 level,” he said. Bhagwat said the technical setup hints at a revisit and possible breakout above the Rs 410 level.
Varun Beverages Change in Open Interest: 0.53% Change in Price: 1.9%
Rationale: The stock hit a fresh 52-week high on Friday, and is seeing an increase in open interest along with a rise in prices, indicating bullish momentum. “The transition from previous unwinding to fresh long addition, paired with historically high rollover strength in the stock from December, suggests the current price stall is merely a consolidation before the next uptick in prices,” said Rajesh Palviya, head of technical and derivatives research at Axis Securities. He suggests buying the stock at the current price of Rs 493, with a target of Rs 530-540, and placing a stop loss at Rs 470.
HDFC Life Insurance Change in Open Interest: 0.47% Change in Price: 0.46%
Rationale: An increase in the price as well as open interest of the stock indicates bullish buildup. “The prices have cemented a base of Rs 730, going by the last 6 months of price action. Positive price action with volume surge at Rs 740 in the last week hints at a regain of momentum for a revisit of Rs 790+ levels,” said Bhagwat. He suggests traders buy its January futures at Rs 753-758 with a target of Rs 790-815, and stop loss at Rs 737.
CHOLAFIN Change in Open Interest: -2.80% Change in Price: 2.93%
Rationale: Kumar suggests traders buy its January futures in the Rs 1,765-1,740 range for a target of Rs 1,885-1,925 with a stop loss at Rs 1,680. The stock made a fresh 52-week high on Friday.
“The shares have witnessed a bullish breakout from the past three-month-long congestion zone, which was well supported by short covering in open interest,” said Kumar.
Larsen and Toubro Change in Open Interest: -0.7% Change in Price: 2.7%
Rationale: The stock witnessed a short-covering rally during Friday’s session, driving it to a 52-week high. “While call activity remained largely unchanged, the significant increase in put intensity shows that market participants are actively underwriting downside risk, creating a supportive cushion for further upside potential,” said Palviya. “The combination of rising prices, falling open interest, and an expanding basis suggests that aggressive short sellers are being forced out, while higher-conviction holders are maintaining positions.” Palviya said traders can buy it at the current price of Rs 4,163, for a target of Rs 4,300-4,320, with a stop loss at Rs 4,080-4,070.
JSW Energy Change in Open Interest: -3.64% Change in Price: 1.47%
Rationale: An increase in prices along with a decrease in open interest in JSW Energy’s shares indicates short covering of positions. “The stock prices have been confined in a range of Rs 450-550 for the last 11 months. An inverse Head and Shoulder bullish pattern formation at the base of Rs 450 sets up the stock for a revisit of Rs 550+ levels,” said Bhagwat. He suggests traders buy JSW Energy’s January futures at Rs 513- 508 for a target of Rs 550-567 and stop loss at Rs 479.
Curated by Emma Watson
