Stocks to buy this week: What's the outlook for Nifty? Check list of top stock recommendations
Stock market recommendations: According to Sudeep Shah, Head - Technical Research and Derivatives, SBI Securities, Uno Minda Ltd, and
HDFC Life
are the top stock picks for this week. Here's his view on Nifty, Bank Nifty for the week starting August 18, 2025:
Nifty View
The benchmark index Nifty finally snapped its six-week losing streak, closing the week with a healthy gain of 1.10% and reclaiming the 24600 mark.
This rebound has brought some relief to market participants after a prolonged phase of weakness. However, the momentum appears to have tapered off in the last two trading sessions, with the index confined to a tight range and forming small-bodied candles — a sign of consolidation after the recent minor pullback.
Currently, the Nifty continues to trade below its 20-day and 50-day EMA, with both moving averages trending downward — reflecting the underlying weakness in the medium-term structure.
On the momentum front, the daily RSI remains in a sideways zone as per the RSI range shift framework, indicating a lack of clear directional bias. Meanwhile, the MACD histogram continues to hover below both its zero line and signal line, keeping the overall sentiment cautious.
In terms of internal strength, as many as 28 out of the 50 Nifty constituents are still trading below their respective 50-day EMA levels, suggesting that the recent recovery has yet to gain strong participation across the index.
by Taboola
by Taboola
Sponsored Links
Sponsored Links
Promoted Links
Promoted Links
You May Like
Could This NEW Collagen Blend Finally Reduce Your Cellulite?
Vitauthority
Learn More
Undo
Overall, while the Nifty has managed to break its losing streak, the technical setup still points to caution until broader participation and a move above key averages confirm strength. Talking about crucial levels, the zone of 24750-24800 will be the crucial hurdle for the index. If the index sustains above the 24800 level, then it is likely to extend its pullback rally upto the 25100 level. While on the downside, the zone of 24470-24450 will act as important support for the index.
Any sustainable move below the level of 24450 will lead to resume its southward journey. In that case, the index is likely to test the level of 24250, followed by the 24100 level.
Bank Nifty View
Over the past week, the banking benchmark index Bank Nifty traded in a narrow 654-point range — its tightest weekly band since late August 2024. The index underperformed the frontline peers, posting a modest 0.61% gain. On the weekly chart, it formed a small-bodied bullish candle with a slight upper shadow, signalling muted directional momentum.
For the past six sessions, Bank Nifty has been hovering around its 100-day EMA, reflecting an indecisive phase. It remains below the 20-day and 50-day EMAs, keeping the overall trend structure weak. The daily RSI also continues to move sideways, indicating the absence of a strong breakout setup.
Looking ahead, the 55700–55800 zone will be a key resistance, while 54900–54800 will act as crucial support. A sustained move beyond either of these levels is likely to pave the way for a directional move.
Stock recommendations:
Uno Minda Ltd
The stock has witnessed a breakout above a downward-sloping trendline on the daily chart, accompanied by strong volume exceeding the 50-day average, confirming the validity of the breakout. The formation of a sizable bullish candle on the breakout day adds further strength to the move. The stock is currently trading above its short and long-term moving averages, which are trending higher and aligned in the desired sequence—indicating a strong underlying trend.
Momentum indicators are also supportive, with the daily RSI surging past the 60 mark and remaining in an upward trajectory. Although the ADX is currently at 15, suggesting that trend strength is still developing, the directional indicators are already in buy mode, reinforcing the bullish setup. Hence, we recommend to accumulate the stock in the zone of 1155-1145 with a stoploss of 1100 on the upside, it is likely to test the level of 1270 in the short term.
HDFC Life
The stock has recently broken out above the neckline of an Adam and Adam Double Bottom pattern on the daily chart, signalling a bullish reversal. This breakout is supported by a rising ADX, which has crossed above the -DI line, confirming directional strength. The stock is trading approximately 6% above its 100-day EMA and nearly 11% above its 200-day EMA, reflecting strong momentum.
Additionally, the daily RSI is in bullish territory and continues to rise, further validating the positive price action. Hence, we recommend to accumulate the stock in the zone of 790-780 with a stoploss of 750 on the upside, it is likely to test the level of 860 in the short term.
Stay informed with the latest
business
news, updates on
bank holidays
,
public holidays
, current
gold rate
and
silver price
.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
10 minutes ago
- Mint
Indian stock market: Nifty tops 25,000 level. Is this rally sustainable in near term?
Stock market today: The Nifty 50 index climbed back above the 25,000 level on Monday, August 18, for the first time since July 25, as a series of positive developments over the weekend helped counter concerns about a possible 25 per cent tariff on Indian imports by the Trump administration. Meanwhile, BSE index Sensex also soared nearly 1,100 points, rallying to 81,678.77 in Monday's trading session. Market experts said that Prime Minister Narendra Modi's statement on potential cuts in goods and services tax (GST) has boosted sentiment, especially in consumption-driven sectors. Analysts believe that automobiles, financials, consumer durables, and domestic-oriented industries connected to infrastructure spending stand to gain the most. 'The Prime Minister recent announcement of potential GST reforms is a significant positive. These measures are expected to reduce the cost of essential goods, which should boost consumer spending and corporate profitability. This will likely improve market sentiment and attract fresh investment,' said Sugandha Sachdeva, Founder of SS WealthStreet. Indian equity indices wrapped up the week on a subdued note, pressured by continued selling in key sectors and dampened global cues. The Nifty 50 managed a marginal rise of 11.95 points to close at 24,631.30, while the Sensex added 57.75 points to finish at 80,597.66. According to Choice Broking, Nifty is currently hovering near its short-term support of 24,590 (20-day EMA). 'The broader setup remains cautiously bearish to sideways, with the Nifty trapped between key averages. A breakout above 24,800 could trigger momentum buying towards 25,000+, while a break below 24,300 may invite fresh selling pressure, dragging the index towards 24,000–23,800. Traders should remain tactical with a buy-on-dips and sell-on-rise approach, keeping a close eye on the EMA cluster for directional cues,' the firm said. Support Levels:- 24200-24000 Resistance Levels :- 24700-24800 Overall Bias :- Sideways To Bullish The Bank Nifty index ended the week at 55,341.85, up 0.61% compared to the previous week's close. The weekly chart reflects buying support at lower levels, with the index successfully sustaining above the key 55,000 level. 'The Bank Nifty index formed a bullish-bodied candle with a slight upper wick, accompanied by consistent trading volumes. This price action reflects the possibility of a sideways or consolidation phase in the near term. As long as the index holds above the 54,800 marks, a 'buy on dips'; strategy remains advisable, with upside targets placed at 55,800 and 56,000. The Bank Nifty index is likely to face significant resistance in the 55,500–56,000 range. If the index continues to move higher, ICICI Bank & HDFC Bank from the private banking sector is expected to support the uptrend. Similarly, in the public sector banking space, SBIN is anticipated to show strength and contribute to any potential upside,' the brokerage firm added. Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
News18
34 minutes ago
- News18
Rupee Rises 20 Paise To 87.39 On Strong Equities, GST Reform Hopes
Last Updated: The rupee rose 20 paise to 87.39 against the US dollar, boosted by strong domestic equities. Sensex surged 1000 points, and Nifty retested 25,000 after PM Modi's GST reform hint. The rupee gained 20 paise to open at 87.39 against the US dollar in early trade on Monday, supported by strong domestic equities. Meanwhile, India's equity indices jumped over 1000 points or 1 per cent in the opening trade, followed by PM Narendra Modi's comment on GST reforms by this Diwali during his 12th consecutive Independence Day speech on August 15. Sensex was trading over 800 points higher at 81,482 at noon, while Nifty gained 300 points to retest 25,000-mark. In a statement issued after Prime Minister Narendra Modi's Independence day address where he announced that GST reforms which will lower tax burden substantially and benefit small industries will be implemented by Diwali, the ministry said that the central government has sent its proposal on GST rate rationalisation and reforms — specifically linked to structural reforms, rate rationalisation, and ease of living — to the Group of Ministers (GoM) constituted by the GST Council to examine this issue. Forex traders said lingering uncertainty over India-US trade tariffs is likely to keep market participants cautious. At the interbank foreign exchange market, the rupee opened at 87.46 before strengthening to 87.39, compared with Thursday's close of 87.59. Both forex and equity markets were shut on Friday due to Independence Day. Meanwhile, Brent crude futures slipped 0.06% to USD 65.81 per barrel, with prices easing on reduced concerns over Russian supplies after the US refrained from imposing fresh curbs at its August 15 meeting. Investors will also track US Federal Reserve Chair Jerome Powell's speech at Jackson Hole this week for signals on the timing of rate cuts at the September policy meeting, Bhansali noted. The dollar index inched up 0.01% to 97.86. On the domestic market front, the Sensex surged 1,021.93 points to 81,619.59 in early trade, while the Nifty gained 322.2 points to 24,953.50. Foreign Institutional Investors, however, were net sellers on Thursday, offloading equities worth Rs 1,926.76 crore, exchange data showed. (With PTI Inputs) view comments Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
Time of India
38 minutes ago
- Time of India
GST cut on cars, bikes likely soon: Expected percentage and who gains most
Car and bike buyers may soon have a reason to cheer this festive season, as the government is working on a plan to slash the Goods and Services Tax (GST) on automobiles. The move is aimed at making passenger vehicles and two-wheelers more affordable for the masses. The Finance Ministry has already forwarded its proposal to the GST Council, suggesting a simplified two-slab structure of 5% and 18% across all goods, replacing the current four-tier system, IANS reported. GST reduction for cars, bikes: Who benefits and how At present, passenger vehicles attract 28% GST, and on top of that, a compensation cess ranging from 1% to 22% depending on engine size, length, and body type. This means the overall tax outgo on cars can go up to nearly 50%. Electric cars, however, enjoy a much lower 5% GST rate with no cess. Two-wheelers also fall under the 28% GST slab. While entry-level and mid-segment bikes up to 350cc do not carry any cess, larger bikes with engines above 350cc are charged an additional 3%. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Use an AI Writing Tool That Actually Understands Your Voice Grammarly Install Now Undo Volvo EX30 Review: Is the smallest Volvo worth buying? | TOI Auto If the proposed structure is cleared, the 28% slab would be replaced with 18%. This change is expected to give a big boost to mass-market segments such as hatchbacks, compact SUVs, commuter motorcycles, and scooters, which together make up the bulk of India's auto sales. For two-wheelers, which are still the most common mode of transport for daily commuters, an 18% GST rate would directly reduce costs. This is significant because motorcycles and scooters in the entry-level and commuter space form the largest chunk of sales in India. Discover everything about the automotive world at Times of India .
