Stocks To Buy This Week: 4 Technical Buy Calls From GAIL To ITC By Axis Securities

The brokerage firm Axis Securities has announced its top picks of the week with a buy rating and the weekly trade call includes stocks like GAIL(India), ITC, Container Corporation of India and Aarti Industries. The brokerage forecasts a strong upside on the aforementioned equities in a holding period of three to four weeks based on the technical analysis.

Weekly Nifty Outlook

"Nifty started the week with an upward gap and buying momentum for most parts of the week led it to close on a strong note. Nifty closed at 20268 on 01st December with a gain of 473 points on a weekly basis. On the weekly chart, the index has formed a sizable bullish candle, forming higher high-low compared to the previous week and has also closed at an all-time high, indicating a positive bias," said the brokerage firm.

"The chart pattern suggests that if Nifty crosses and sustains above 20400 level, it would witness buying, leading the index towards 20500-20600 levels. However, if the index breaks below 20150 levels, it would witness selling, taking the index towards 20000-19900. For the week, we expect Nifty to trade in the range of 20600-19900 with a positive bias. The weekly strength indicator RSI is above its respective reference lines, indicating a positive bias," Axis Securities stated in a note.

Bank Nifty Outlook This Week

"Bank Nifty started the week with an upward gap, and buying momentum for most parts of the week led it to close in positive territory. Bank Nifty closed at 44814 on 01st December with a gain of 1045 points on a weekly basis. On the weekly chart, the index has formed a bullish candle, forming a higher high-low formation, indicating a positive bias. The chart pattern suggests that if Bank Nifty crosses and sustains above the 45000 level, it would witness buying, leading the index towards 45200-45300 levels," the technical research analysts of the brokerage predicted.

"However, if the index breaks below 44700 levels, it would witness selling, taking the index towards 44500-44350. For the week, we expect Bank Nifty to trade in the range of 45300-44350 with a positive bias. The weekly strength indicator RSI and momentum oscillator Stochastic have both turned positive and are above their respective reference lines, indicating a positive bias," Axis Securities stated.

Stocks To Buy This Week

Axis Securities has initiated a buy call on the shares of GAIL, ITC, Container Corporation of India and Aarti Industries. Check the complete technical analysis of the stocks here with the entry price, target price and stop-loss, according to the brokerage.

GAIL(India)

GAIL has recently experienced a robust breakout from the multi-year high at 130, accompanied by a strong bullish candle, indicating a continuation of uptrend. The stock has experienced heightened volume activity during the breakout, signifying a notable surge in market participation.

The stock demonstrates a pattern of higher highs and lows, maintaining position above a medium-term upward-sloping trendline, affirming a strong uptrend. The weekly strength indicator RSI given a crossover above its reference line generated a buy signal. The above analysis indicates an upside of 145-152 levels.

ITC

On the weekly chart, ITC has convincingly breached the 'Downward Sloping' Trendline, driven by a robust bullish candlestick pattern, indicating a sustained upward trend. There is an upswing in volume activity, signifying increased market participation. The stock holding above the 38% Fibonacci retracement level of the rally from 325-499, placed at 433, indicates the formation of a medium-term support base.

The weekly strength indicator RSI given a crossover above its reference line generated a buy signal. The above analysis indicates an upside of 467-485 levels.

Container Corporation of India

On the weekly chart, CONCOR broke above the 'Cup and Handle' pattern at 748 with a robust bullish candle, signaling the initiation of an uptrend subsequent to a consolidation breakout. The stock is holding above key averages of 20, 50, 100, and 200 days Simple Moving Average (SMA), signaling a strong uptrend in the stock.

Stock is forming Higher High-Low formation on a weekly chart and holding above upward sloping trendline indicating positive momentum. The weekly strength indicator RSI is in a bullish mode and holding above its reference line indicating positive bias. The above analysis indicates an upside of 823-855 levels.

Aarti Industries

AARTIIND has surpassed the neckline of the 'Double Bottom' pattern at the 535 level, signifying the commencement of an uptrend. Volume activity waned during the pattern formation, but experienced a surge at the breakout, signaling increased market participation.

The stock also broke above the downward-sloping trendline at 548, indicating the initiation of an uptrend. The weekly strength indicator RSI is in a bullish mode and holding above its reference line indicating positive bias. The above analysis indicates an upside of 585-613 levels.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.