Top picks of the week: Axis Securities suggests these 4 stocks to buy

“However, if the index breaks below the 18,000 level, it will witness profit-booking towards 17,800-17,500. For the week, we expect Nifty to trade in the range of 18,700-17,500 with a mixed bias. Weekly Strength Indicator The Relative Strength Index (RSI) is above its respective reference lines indicating a positive bias,” the note said.

The brokerage house shared four stocks as its top picks for the week based on technical factors, which are Ambuja Cements, Bajaj Finserv, Canara Bank and Tata Steel.

Top stock picks of Axis Securities –

Ambuja Cement: “On the weekly time frame, Ambuja Cement has decisively broken above the “Pennant” pattern. This breakout is accompanied by rising volumes, which usually dry up during the formation of the ‘Pennant’ pattern. From the above analysis. to indicate 600-620 level with stop loss 519.”

Bajaj Finserv: “Daily and Weekly Strength Indicator RSI is in bullish mode and weekly RSI is above 9EMA generating a buy signal. The above analysis indicates an upside 1950-2000 level with stop loss 1660.”

Canara Bank: “The stock has decisively broken above the “Multiple Resistance” zone on the weekly time frame. The stock is trading above its 20, 50, 100 and 200 day SMAs, which confirms the bullish sentiments. The weekly strength indicator RSI is in positive territory. 50 points along with 9EMA indicate positive momentum. The above analysis indicates an uptrend 324-330 level with stop loss 275.”

Tata Steel: “On the weekly time frame the stock has decisively broken above the “Downward Sloping Trendline” which was at the level of 102. Short term bottom. The breakout is accompanied by an increase in the confirmed participation at the breakout level. Analysis above points to 112 with stop loss at -15 level 96.”

The views and recommendations given above are those of individual analysts or broking companies and not of Mint.